Transcripts For FBC Mornings With Maria Bartiromo 20240713

And full analysis. The stocks going into it are higher. Futures pointing to gain at the start of tradingment broader looks good. Look at futures. 280 points right out of the gate. S p 500 up 29, better than 1 and nasdaq higher by 115 points, one and a third percent. This after the dow, s p 500 much of the needed money. Lindsey graham right here. Former Vice President joe biden picking up major endorsement from former rival senator Bernie Sanders. Mornings with maria live right now. Maria Global Markets this morning also mix today. Take a look. Ftse 100 down 25 points. Cac quarante down 2 points but the dax in germany down by higher than 11. Better than 1 . French president aim to go start opening economy and schools on may 11th, in asia overnight green across the board, take a look. Good tone overnight for the asian markets, better than expected Economic News out of china this morning, exports were down in the month of march from a year earlier. Import down 9 tenths of a percent. Both numbers better than estimates overnight in china and as you can see the shanghai composite up one 1 and a half percent. Japan did well better than 3 . Oil prices falling despite leaders agreeing on Production Cuts. Fox interview this morning, saudi arabias minister, bin solmon, all that coming up this morning on tuesday morning. First, though, some some of thep stories that we are watching this morning, four states are now under a state of emergency this morning for both covid19 and Severe Weather. Brutal storms killing at least 30 people and flattening communities after more than 50 tornadoes rift across the south. President trump is helping to raise spirits promising the federal government is there ready to step in. My administration will do Everything Possible to help communities get back on their feet. We are speaking with the governors and representatives, fema is already on its way. We just want to say warmest condolences and we are with you all of the way. Maria despite risks of covid19, though, officials are urging number one priority protecting yourself from potential tornado. Strong storms expected in georgia and florida along the coast. We will be watching that. Number of cases of coronavirus worldwide is nearing the 2 million mark. Those numbers doubling in just under 2 weeks. The u. S. Still leading the list of Top Countries with the most cases if you believe where china is. This as another grim milestone here at home. Officials confirmed first death of the virus. Americans have died in all 50 states from covid19. Theres a little bit of good news, Governor Cuomo says the worst is over, quote, unquote, this can only work if the state follow social distancing and other guidelines and says we have to keep at it. New york seeing the highest death rate of them all within new york. President trump says he has now total authority when it comes to how and when the reopen the economy amid coronavirus pandemic. The president making the statement to reporters yesterday after two groups of governors say they will Work Together to gradually allow americans to return to work. The president added that his administration is close to completing a plan to reopen the country. Amazon ramping up to meet consumer needs, this week the company thirdparty sellers can start shipping nonessential items. Amazon says Technology Giants makes the decision to prioritize household staples and medical supplies last month in response to the coronavirus pandemic with millions on lock do you know, amazon has faced a surge if orders and also announced that it wants to higher 175 workers across the country and stopped taken new customers because of surge in demand. Another win for george h. W. Bush, the former Vice President receiving endorsement from former rival Bernie Sanders pledging defeating President Trump in december. Endorsement key moment but not everybody on board. Some former sanders staffers say they will not support biden for president. Biden winning the wisconsin controversial primary that took place while stay with us under state at home order. Global stocks are rising this morning as the virus fears are easing a bit on the heels on some of the good stories like Governor Cuomo saying the worst is over. Markets pointing to a gain, take a look at futures, 275 points right out of the gate. S p is up 28 and nasdaq up 114 in hopes of reopening the u. S. Economy. This morning we will hear from two of them, Jpmorgan Chase with wells fargo this morning. Heavy hitters due out later on in the week. Later we brought you a story that said forget about the earnings and revenue of the quarter because we know its not going to look good and we know what to expect given the march situation of covid19, look at the Balance Sheet and debt convenance. Brent is here along with fox business dagen mcdowell, the wall street journal senior writer, jon hilsenrath, reporter and host of secrets to wealthy women podcast veronica. Thanks for having me. Dagen morning. Maria brent, do you think we will see things get back to normal sooner rather than later on how to do it . How would you propose doing it and what do you think of markets reacting to that . Well, i do think youre seeing positivity and we cant wait until we have a virus treatment. Im interested to see details of the plan because the plan needs to start sooner rather than later and having the testing would be very important. Thats a positive towards the u. S. Economy. Maria jon hilsenrath, we have been waiting to see how we will see an opening here. Maybe its sector by sector, a slow opening, how do you see it . Jon everyone i talked to talk about something stage and gradual. I do think its probably a slow opening and its critical based on what i hear from economists and policymakers and Health Experts that there would be pretty extensive and elaborate system in place in order to make that happen so people feel comfortable going out there. People arent going to go out unless they feel comfortable that they will not get the virus out in public. Maria right. Thats why its also about the health part of this, brent, we really need the buyin from the health professionals, dr. Birxs and dr. Fauci saying we can do this. Absolutely, i think you need more data. Every time i make a decision, we need more data. I believe thats a step that we actually need to take and i do believe it would be rolling or gradual but i do believe eventually the u. S. Economy will recover to its fullest but just beginning the process now is incredible by important and i hear so much of a discussion on whether its u or a v. As long as its not an l. Now its time to start rolling the economy back into action and continuing to learn how we do that. Maria when you say not on l, veronica, jump in here. You dont want to see a flat scenario where you have it bump along the bottom for a while like an l shaped. Thats a new one. I hadnt heard that one either. Veronica me neither. Whats the breaking point of retail investors. Some Financial Advisers i speak to say wait 6year portfolio and lets see next quarter before we put money to work, what do you say . I hate to bring it back to that, i kept hearing a few weeks ago on the bottom which i do think its more of a bottom because of the monetary and fiscal policymakers have done. The question people were asking is this october 2008 and i kept making the comment it doesnt necessarily matter if you have a one. 3year time resident. As long as they didnt panic when the money did make new fresh lows, disappointed 1, 3 years, 25 years later. Begin to think about adding more cyclic al sectors because on the other side of this at some point theyll be be recovery and some of the cyclical maria well, one issue, one group is the banks, so the journal this morning writes that the Bank Earnings would be a window in how severely the coronavirus will impact the broader u. S. Economy with new zero Interest Rates and how it quickly contracting economy points to major threat. What would that signal about the broader economy, we are waiting this morning on jp morgan which may very well set the tone. I think people are looking for the banks and has all the work that weve done since great financial crisis. Since Balance Sheet rebuilding, have studied them enough of great financial crisis again. I think thats where the focus is going to be. The earnings is up for grab but its more of does this income statement event turn into Balance Sheet of that which we dont believe it will. I think theres still a lot of fear that somehow this turns into a financial crisis like 2008, like 1929 and both of those were called great recessions or Great Depressions, they god the adjective great before it impacted the system. Dagen i would like to hear jamie dimon speak about response to business customers at the bank on the Paycheck Protection Program and how they have been totally unresponsive to them. I think thats going to be a huge problem. These large banks were bailed out by the american taxpayers. Theyve been dragging their feet and getting this money out to their Small Business customers. I know its only been a little over a week. The money has started flowing but did they add staff to process these loans . I think long run for the large banks, they took market share after the financial crisis, they had the fed and the government at their backs and they have not stepped up when these people needed these loans most desperately, maybe the money starts flowing now but this program because congress is also sitting on their backside is running out of money, so they need to answer that as they report earnings this week. Maria brent. Thats directed towards me . Im sorry. In general i would say that most of the the fiscal and monetary stimulus this time has been much, much faster than 2008 and it hasnt been perfect. Thats to be expected, i think, when youre rolling something very quickly. Dagen it hasnt been fast because of the banks and these are the people who needed the money most desperately and these are the people, jobs in the country that are critical to getting the economy restarted and what we would look as a nation on the other side of this and the performance of the banks has been poor. Maria yeah, to be clear, i think dagen, the banks were unclear as far as how to allocate the money. There were some questions in in the description in terms of who would be who would be the right businesses. Dagen Jpmorgan Maria go ahead. Dagen jpmorgan wasnt answering emails. They were not communicating with customers. All they had to do and tell them what the holdup is. They didnt get that and i heard from that literally dozens of customers of Jpmorgan Chase. Maria brent, thank you very much for being here. Thanks for weighing in. Stay with us. We will be right back. Your work is essential. Thats why kubotas 1,100 dealers are working to keep you working. Call or email your kubota dealer about 0 financing. No payments for 90 days offer expires 5 31. Together we do more. Actions to help prevent the spread of respiratory diseases. Wash your hands. Avoid close contact with people who are sick. Avoid touching your eyes, nose and mouth. Stay home when you are sick. Cover your cough or sneeze. Clean and disinfect frequently touched objects with household cleaning spray. For more information, visit cdc. Gov covid19. This message brought to you by the National Association of broadcasters and this station. The one thing we do know is Health People as physicians and scientists and public Health People. As i mentioned i think that over the weekend on one of the shows is that some people hi may think its like a light switch on and off, we are either out or we are in. Its not going to be that way. We have a very large country and there are different impacts as you see. New york is very different from other parts of the country. Maria that was Infectious Disease experfect dr. Anthony fauci speaking at the White House Task briefing and says parts of the country could have a rolling reentry still under stay in place orders. Now we see its 13 feet. Now joining me dr. Mark. Good to have you this morning. Thank you very much for joining us. Tell me about that and the 13 feet situation. That means if youre out and a about and Somebody Just coughed in the air and you didnt see them it could still be in the air. Good morning, maria, good to be with you this morning. We have studies that have even shown up to 27 feet. University of nebraska which has seen first patients of the ship found that they found droplets among people who had walked out of the room. Can that part 13 feet or 27 feet . Can that cause infection . We know large droplets that you see when we cough or feet can travel 6 feet in the air. The question is do smaller particles that travel further, do they still have the same impact . My advice to keep as much distan as you distance as you can between yourself and theres a reason for that, we need to protect ourselves. Maria right, right. Do we think we are ready to go back to normal routines or do you think we will have social distancing with us regardless of whether the economy opens up, we will have a different behavior . Thats the multitrillion dollar question and how do we define morality. I think as we heard from dr. Fauci and other experts probably a rolling process. I think we will all be cautious of our distance between other folks and certainly Infection Control making sure we wash our hands. Its going to be a process. Maria so researchers calling off a small brazilian study on the antimalaria drug, hydroxychloroquines ability to combat covid19 after some patients expected irregular experienced irregular heartbeats. I foe we have been talk about the those vulnerable and we heard that some are patient after hydroxychloroquine. Hydroxychloroquine is the drug thats been use today treat malaria and certain other immune diseases. The issue that we look at for every drug is the safety and efficacy and we need to know how do you administer it. [inaudible] maria yes. Dr. Mark, good to see you this morning. Greatn insights. Dr. Saralyn mark. We will be right back. This is an athlete, twenty reps deep, sprinting past every leak in our softest, smoothest fabric. Shes confident, protected, her strength respected. Depend. The only thing stronger than us, is you. Confident Financial Plans, calming Financial Plans, complete Financial Plans. Theyre all possible with a cfp® professional. Find yours at letsmakeaplan. Org. Theyre all possible with a cfp® professional. Its more than just fast. It keeps all your devices running smoothly. With builtin security that protects your kids. No matter what theyre up to. It protects your info. And gives you 24 7 peace of mind. That if its connected, its protected. Even that that petcamera thingy. [ whines ] can your internet do that . Xfinity xfi can because its. Simple, easy, awesome. [ barking ] maria welcome back, so roku seeing major bump in business, the company adding 3 million accounts as americans remain in place due to coronavirus. Streaming services across the board are seeing increase in viewership. Netflix reaching 52week high and stock surging up 7 , stock up again this morning 1 on top of all of that. You saw the same thing with zoom, jon hilsenrath, you got Certain Companies there that are really very well positioned to benefit from stay at home orders. Jon we seem to be seeing that. I want to throw a proposition to the rest of the panel which i noticed is all women, the stay at home part and streaming part is much harder on men than on women. Theres no sports anymore. Im tired of watching old series and old super bowl. I dont know how you feel about that. Dagen jon hilsenrath, i love you but thats sexist because that assumes that women dont watch sports and i watch as much sports like anybody on the planet. Boo on you. Jon you watched the tiger thing. All i do is watch sports. I dont want the tiger thing. Veronica jon, my husband has seen the tiger episode. Check that out, that will entertain you. Jon im sick and tired of harry potter, thats all my kids do is watch harry potter. I dont get it. Dagen one thing i would add about the streaming companies, the upside down logic to this is every american would have consumed every show or movie that theyve ever wanted to watch on the streaming services so on the other side of this, we will cancel all of them and take a 2week trip to disney world instead. [laughter] maria speaking of disney, disney chairman bob igor reportedly taking back the reins back of the company. Isnt it interesting that igor had resigned in february and now the company has been force today close all theme park as cross the world during the covid19 outbreak but steaming Service Disney plus seeing a major surge in business reaching 4year target of 50 million subscribers in under a year but isnt it interesting that bob igor running the company because they had to make all of the drastic moves . Dagen during a crisis like this and this applies for every company its all hands on deck and if you dont pull bob igor who had been there for so long who is a genius at running the behemoth, if you dont pull him back in your team, thats a mistake. What they are doing is right. I think they are losing 30 million a week just on theme parks. Maria it definitely makes sense to bring him back. Its interesting that hes back in place. We will take a break, when we come back a big exclusive on the other side of the space. Royal highness prince bin solmon. Saudi minister of energy. Maria welcome back, good tuesday morning. Top stories right now 6 32 a. M. On the east coast. Markets are higher this morning. Take a look at futures as the white house start to look to get america back to work putting plans in place. The dow industrials right now up 306 points. S p 500 up 31 and nasdaq up 121 this after the s p and the dow finished lower yesterday but they were well off of the session lows and we did see some buying coming at the end of the day yesterday. Nasdaq had third day of gains. Nasdaq up 38 and s p was down 28 on the day yesterday. Global market this is morning look like this. You do have gains this morning across the world but mixed story. French president Emmanuel Macron extending his countrys lockdown now start to open the economy and schools on may 11th, ftse 100 down 22 points in uk, the dax index in germany higher this morning better than 1 up 111 points. In asia overnight, green across the board, take a look. Better than expected Economic Data out of china overnight. Exports were down from a year earlier, import shrank but both numbers came in better than expectations overnight. Shanghai composite up 1 and a half percent. Oil price this is morning are down despite leaders agreeing to historic Production Cuts. Take a rook, price of oil 22. 07 a barrel. His Royal Highness prince abdulazin bin solomon. Cheryl casone with those details now, cheryl. Cheryl good morning to you. North korea launched missiles during the sea of japan with military aircraft also appearing to be involved in this drill, however, this isnt the first time the country has been conducting spectacular exercises for weeks. Today launch ahead of south koreas planned elections. The census started back in january but Field Operations suspended in march and bureau says they need more time. The new deadline next spring. The decision does still need congressional approval. Well, more help is on the way for Small Businesses impacted by the coronavirus pandemic. The Small Business administration is allowing paypal, square and intutt to participate in protection program. A lot of the businesses dont have existing relationships with larger traditional banks and unable to apply for those loans. Companies, maria, have been pushing for this. They say they can get money to Small Businesses a lot faster than bigger banks. Maria, back to you. Maria all right, cheryl, thank you. Well, the first coronavirus release checks are hitting americans banks accounts and the irs says millions more can expect relief in the coming weeks, based on incomes, individuals making less than 75,000 a year will make 1200 but once you do get the money, what do you do with it . Lets ask my next guest ramsey solutions, author of every day millionaires, chris hogan, joining us with more on that. Chris, good to see you. I think i know what youre going to say, assess Balance Sheet before knowing what to do with it. If you have debt, tell me, chris, what should we do with the money that we are getting from the government . Chris maria, you are reading my mind absolutely. This money coming in needs to be used wisely and im advising people to go into conserve mode. You dont want to have any unnecessary spending right now. You want to be very aware. Im telling people that you want to take care of your four walls and im referring to your housing or rent, utilities, food and your transportation, so this is not free money. This is things that you need to take care of to keep life moving forward. Maria so do you have advice for people who are struggling to make the mortgage or the credit card payments . Theyve got the bills coming in. I understand be prudent but you also have to youve got the deadlines coming your way in terms of rent and credit card bills . Chris you sure do and if peoples income have been cut and backs are against the wall, i want them to be proactive. What i mean maria is i want you to become your own advocate and reach out to creditors, contact them and let them know whats going on for you and talk with them. Id advice people make a script if you have to. Right write down what youre going to say and master bills so you know account number as well as phone number. You have to pay what youre able to pay and if you cant pay, maria, you can at least pay attention, be proactive and reach out to creditor, dont wait on them to call you but sometimes preparing a script will help people calm their nerves and stay focus and relay the facts to people but i want to warn people, dont make a promise to pay just to get off the phone. When people get nervous theyll agree to anything. They just want the phone call to be over. This is an ongoing situation. You have to stand up for yourself and advocate for yourself. Maria all right, jon hilsenrath, jump in. Jon chris, do you think households are going to get dinged by the credit Rate Companies if they miss payments in this period . It seems the Credit Rating folks need to have a little forbearance themselves and cut some people some slack if they miss a few bills on this . Chris welshing i would agree, something is going to have to be done. We put a moratorium on student loan payments and i think people really need to be aware and not really focus on credit score. This is about making life decisions daytoday. You to take care of your households. I want people to zero in on whats necessary, figure out ways to bring in extra income for ourself. Theres all kinds of places, food delivery, companies that are hiring, amazon, dominoes, home depot, we have to be proactive because we dont know how long this is going to last. Maria its true, chris, its hard to create substantial savings when you have bills coming at you. I know that you want to make sure we increase the nasdaq but we cant do it before you pay all your bills. Chris im telling people we have to take a deep breathe and if your income has been reduced you cant worry about attacking debt. You to mention the four walled that i mentioned and taking care of necessities. If you havent been impacted, by all means i want you to continue to attack debt and continue to invest and prepare for your future. Maria yeah, just looking at the market here. Johnson johnson reporting better than expected earnings, Dividend Increase, chris, you have a good tone in this market with revenues beating estimates on j j and, dagen mcdowell, jump in here, i see that ubs is upgrading a number of the banks, they are upgrading jpmorgan among others, looking at the decline in the stocks over the last couple of weeks and saying these numbers today even though we are looking at at a tough First Quarter the stocks have overreacted on the downside so up good day on financials this morning as j j announces better than expected earnings and Dividend Increase of 3. 6 . Dagen its hard to it would be hard to dive into the banks knowing that delinquent loans and chargeoffs were low. You dont have a sense of delinquencies and on that note, chris, in terms about being proactive on your own personal financial service, that 2 trilliondollar rescue package, the cares act, it allowed borrowers with loans freddie mac, fannie mae and can lose a years worth of Monthly Payments an required to remit that at a later date or in a payment plan over time but if you really cant make mortgage payments you have to reach out to your lender because theres hope and help for people who cant make the mortgage payments. Chris no, youre absolutely right, dagen. People need to be aware of resources that are available. Dont sit back and assume. You will have to be proactive and the thing that concerns me with the language of forbearance, are they going to put it towards the end of the loan or extending it. People need to be proactive and reach out to mortgage servicer. This is whoever you send your payment to. Theres a phone number on the statement. Call them and stay on the phone even if you have to be on hold for 15 or 30 minutes or more. Please stay on hold until you get somebody on the phone. Write down their name and phone number and when you get their information ask them to document your account. You have to be proactive each and every month. Dont sit back and wait. Maria great advice, thank you so much, sir, we will see you soon. Chris hogan. Coming up a market thats trading higher, whats moving coming up and we have the Saudi Oil Minister coming up as well. S maria welcome back, global stocks rising as virus fears ease, futures pointing to gain at the start of trading. Take a look, dow industrials up 281 points. We will hear from Jpmorgan Chase and wells fargo both reporting this morning on the First Quarter with morgan stanley, bank of america, Goldman Sachs and citibank among heavy hitters due out later on in the week. Joining me right now cfra director of equity director ken leon, thanks very much for joining us. Great seeing you, maria. Maria yeah, i want to point out something that i mentioned yesterday and that is as we approach flood of earnings reports, earnings per share would be meaningless. The most important thing to watch this earning season is the Balance Sheet and not the income statement, not only what is your debt to equity ratio and breast expense, interest coverage expense coverage ratio convenance that youre bumping up against. We know that the First Quarter will not look good given the shutdown beginning in march. Probably most important Earnings Call in a long time. We are looking at two things, one the soundness of banks which is very strong since the financial crisis, but the real focus here is on credit risk. Credit risk touches the consumer and commercial and, maria, we are really focused on real estate because we think thats one of the areas where we are seeing bigger cracks in terms of nonperforming loans. Maria we want to look at Jpmorgan Earnings because jpm is hitting the tape right now. We have been waiting on the numbers this morning and Cheryl Casone has the numbers. The estimates call for earnings of 1. 84, that would be down 30 from a year ago on revenue of 29. 67 billion. Cheryl. Cheryl and, maria, lower than that, the earnings a buck 84, came at 78 cents. Revenue coming light. They came in at 28. 3. We are also seeing comments now from jamie dimon. Highly liquid, total liquidity resources over a trillion dollars, managed revenue 29. 1 billion, the company also has on hand for managed revenue for First Quarter 28. 6 million. A lot of numbers are crossing right now. At this point the stock is up a little bit in the premarket. Its up. 8 right now. He also is saying that another comment from dimon 25 billion. The results extremely, extremely good. His comments are crossing on the press release. Jamie dimon is saying a severe recession. Again, as you can see, there are the banks overall watching jpmorgan, maria, a miss but this wasnt totally expected, march certainly impact on the quarter that nobody saw coming. Maria, i will send it over to you. I will bring you more headlines as i get them in the news room. Maria well, the stock is up 1 and two third percent right now. Jpmorgan shares are up 1. 60. We are breaking down the numbers and thats where hes talking about being well capitalized providing 25 billion in credit extensions because we know arent as important for the environment right now. Cheryl exactly. He also says the likelihood of a fairly severe recession made it necessary to build out our credit reserve 6. 8 billion. This results in total credit cost of 8. 3 billion for the quarter. So i think to your point about the stocks being higher in remarket, what hes saying here we saw this coming, we knew it was coming and we are building up the bank now for what is to come which is obviously the Second Quarter, maria, thats where youre really going to see the full impact of the coronavirus on the banks. Maria so the revenue coming in at 29. 07 billion, cheryl, versus an estimate of 29. 7 billion, im surprised that the estimates have not gone down going into this number. I guess they have a bit but even more so given what we know already to have occurred in the month of march. Cheryl well, its funny because i was looking at a couple of reports this morning and they were talking about all the different banks. This is the first bank of many that we will get. We have wells fargo coming out at 8 00 and they are basically saying that jpmorgan is in the best position going into what is likely going to be a recession, some have talked about depression and jpmorgan, the stock to watch and some of the analysts keeping ratings on jpmorgan going into todays results. Maria yeah, in fact, i reported earlier ubs is up upgrading the group. 29. 07 in revenue. We will be right back. As the nations doctor, i often get asked what should i do if i think i might have corona virus . People who are sick should stay home. You dont go to an emergency room. You dont go to a clinic. You get on the phone and you ask for advice and instructions from your physician. We dont want you to go into the e. R. Or the Doctors Office without talking to them first, because you might spread corona virus to someone else. Please visit coronavirus. Gov for more information. These expect and way more. Internthats xfinity xfi. U get powerful wifi coverage that leaves no room behind with xfi pods. And now xfi advanced security is free with the xfi gateway, giving you an added layer of network protection, so every device thats connected is protected. Thats a 72 a year value. No one else offers this. Faster speed, coverage, and free advanced security at an unbeatable value with xfinity xfi. Can your internet do that . Maria welcome back as we have been reporting Jpmorgan Chase reported First Quarter earnings back with me this morning. Ken leon, ken, the Company Reported First Quarter net income of 2. 9 billion, way below estimates as you know. They reported revenue of 28. 3 billion managed, and the companys Ceo Jamie Dimon says the bank is well capitalized, highly liquid, total liquidity resources of over 1 trillion and income revenue was 5 billion. They provided 25 billion in new credit extensions in march for companies most impacted by the crisis, you heard of all of this earlier from Cheryl Casone, your reaction to the quarter . So the banks are hunkering down. They are beginning to build reserves for potential nonperforming loans. The lines of credit have gone out to most companies, so now its a question of what is their ability that borrowers meet Monthly Payments and a bank like jpmorgan they are at better position than in the financial crisis. One is total loans, total deposits. Its about 60 . It was over 100 back in 2007. Banks in are in a strong position but we will, see, maria, big increase in terms of delinquencies, and this is why the reserves are getting built up for the next few quarters. Maria yeah, ken, thats exactly what jamie said, look, the likelihood of fairly severe recession made it necessary to build credit reserves of 6. 8 billion resulting in total credit cost of 8. 3 billion for the quarter so youre spot on on that, by the way, jamie is also saying that in march the Company Opened half a million new accounts for card customers and extended over 6 billion of new and increased credit lines, ken. Ken again, our focus is commercial real estate. Its about 26 of their commercial book and we think thats going to be the area of exposure with forbearance from large tenants. On the consumer side, almost 30 of households did not pay their april rental payment, so when we look at risks even though real estate is smaller to the other areas of lending, its the epicenter, i think, for the next month or so. Maria understood, ken, thank you for your insights as always. Ken leon, we would be right back theres nothing to stop you from moving forward. Yoall this grass. All this mulch. All these projects to do. You need a tractor that can do it all right. You need the 1 selling subcompact tractor in the u. S. The versatile kubota bx series. Woi felt completely helpless. Hed online. My entire career and business were in jeopardy. I called reputation defender. Vo take control of your online reputation. Get your free reputation report card at reputationdefender. Com. Find out your online reputation today and let the experts help you repair it. Woman they were able to restore my good name. Vo visit reputationdefender. Com or call 18778668555. Is it because people love filling out forms . Maybe they like checking with their supervisor to see how much Vacation Time they have. Or sending corporate their expense reports. Ill let you in on a little secret. They dont. By empowering employees to manage their own tasks, paycom frees you to focus on the business of business. To learn more, visit paycom. Com maria welcome back. Good tuesday morning, everybody. Thanks so much for joining us. Im maria bartiromo. It is tuesday, april 14th. Your top stories right now, 7 0n the button. Getting america back to work. Some states are planning coordinated action to restart their economies but President Trump says he is the one who has total authority on reopening business. He is working on the plan. Professional sports a big part of getting the economy back up and running, this morning weve got an exclusive Major League Baseball commissioner rob manfred will join me at 7 50 a. M. Eastern this morning, find out what the future of americas past time could look like. Earnings season kicking into high gear with the First Quarter earnings out, two major banks reporting this morning. Jm morgan chase out last hour, jamie dimon saying the likelihood of a fairly severe recession made it necessary to build credit reserves of 6. 8 billion, resulting in total credit cost of 8. 3 billion, for the First Quarter. Wells fargo is due out later this morning. Well bring you those numbers and get you the full analysis. Both stocks are higher this morning. Jp morgan shares are up 2 on the heels of that report which was lower than estimates for the First Quarter. Johnson johnson with a double beat this morning. It is increasing its dividend. The stock is rising in the premarket on j j, up better than 3 right now. Johnson johnson taking the dividend up 6. 3 . Futures indicating a gain at the start of trading this morning, take a look at futures indicating a rally. The dow industrials up almost 300 points, up one and a quarter percent, s p 500 up 30, nasdaq up 110, this on top of yesterdays performance which had the dow and the s p 500 finishing down but well off of the session lows. The nasdaq had its Third Straight day of gains yesterday with a gain of 38 points on the session. On capitol hill, the battle over additional Coronavirus Relief is continuing. South carolina senator Lindsey Graham will join me this morning on what is holding up this muchneeded money. Hes going to assess the situation for us and talk to us about the potential for a fourth relief package. Turning to the 2020 race, former Vice President joe biden picking up a big endorsement from his former rival, senator Bernie Sanders. Mornings with maria is live right now. Lets take a look at Global Markets this morning with a firmer tone on wall street. The fq100 is down 23 points, cac in paris is down 3 points. French president Emmanuel Macron extending the countrys lockdown now, is aiming to start opening the economy and schools in france on may 11th. Asia overnight it was green across the board. Japan did really well. Better than expected Economic News out of china last night. Imports were down nine tenth of a percent, better than expectations. Shanghai composite up one andahalf percent. Oil prices are down this morning despite a big agreement among Oil Producing countries to cut production in an historic move. We will be talking about that coming up with the Energy Minister of saudi arabia. Joining the conversation this morning, dagen mcdowell, veronica dagger along with jon hilsenrath. Great to see everybody this morning. A lot of news today. Jampacked morning. Weve got Jp Morgan Chase missing estimates but weve expected that, john, because its been a horrible quarter for all business with the shutdown. It sure has. I think the First Quarter is going to pale in comparison to the Second Quarter for some of these banks. But you know, as a country we spent a lot of time bolstering our big banks after the last crisis. I think the areas that i worry about are in other arenas right now, in particular small banks which are closer to the Small Businesses that are being hurt right now than the big banks. I know dagen has talked a lot about how the big banks are kind of not showing up for Small Business. It will be interesting to hear what jamie dimon has to say about that. Maria yeah. And he did say that hes expecting a fairly severe recession, likely scenario and that is why he has built up so many reserves and credit costs. Some of the top stories were watching. Go ahead, dagen. Dagen my issue, i understand that the slowdown in processing these paycheck protection loans and other loans for Small Businesses. My issue with them the big banks did start kind of funding some of these loans as of yesterday. Its been a little more than a week. But i just wanted to point out, the communication that these large banks, wells fargo, and jp morgan to name two, have had with their Small Business customers, these are loyal customers who have been with these banks for years and they really didnt have another alternative in terms of getting these sba loans. The communication has been so poor and its caused incredible anxiety among these businesses and i have talked to many of them and i just think they deserve some answers from the guy in the corner office. Maria yeah. And i would just push back on that and say that i think its the Small Business administration, frankly and this is an issue i brought up last wednesday with you, the terms of this package doesnt make any sense to me. Because youre giving a Small Business the loan and expecting it to be forgiven if the Small Business gives that money right out the window to its employees who are at home. And they dont have any revenue. So to accept that money and get it forgiven, to give it to my employees during a period where i dont have any revenue, im in shutdown mode, i only have eight weeks, the clock is ticking. That does not stop me from going bankrupt afterwards. Thats on the Small Business administration the Small Business administration wasnt prepared for the wave that they saw. They gave out 23 billion in one year and they were expected to process 350 billion within three weeks. And so to me i think its the Small Business administration that wasnt ready, not the banks. Dagen the Economic Injury disaster loan program, which is another option for Small Businesses, as of last week there were 4 million businesses had applied for these disaster loans looking for 383 billion. Congress had only allocated 17 billion for that program through the sba. And in terms of the paycheck protection loans, the terms of those that 75 if you want this loan to be forgiven, 75 has to go towards your payroll, that was designed by congress. That was part thats really on congress, how that was won instructed and on the Treasury Department by extension. But my issue with the big banks is just maria youre not blaming the Small Business administration for any of this, youre blaming congress, youre blaming the banks, youre not blaming the sba at all. Dagen oh, absolutely. They have it is an an antiqud system they were using. They were very unclear with the banks. My issue with the banks is they havent been talking to their own customers, saying heres whats going on with the sba, were on top of this. People couldnt even get people on the phone. They couldnt get email confirmations from the likes of jp morgan. There was just literally they applied and it was just it was a black hole. And i think that maria we are yeah. Dagen everybody has fouled up so far and in terms of communicating with these businesses who just want to pay their employees and they just want some answers and theyre getting them not from the sba, not from the government, not from the banks theyve been loyal to for so many years. Maria we are all looking at reopening the country right now. President trump is teasing todays official announcement of his opening our Country Council last night as he focuses on restarting the economy. Watch the president yesterday. We have some of the biggest from every business on this council and we have a lot of smart people. I think that they will give us some good advice. No, we want to be very, very safe. At the same time, weve got to get our country open. Maria the white house plans to announce who will be on that new Council Later today. The president under some pressure to get people back to work as nearly 17 Million People have filed jobless claims in just the last three weeks. Joining me right now is aflcio president , richard trumka. Richard, its great to have you this morning to be the voice of the American Worker out there today. What do you want to see in terms of reopening the country right now, richard . Well, first of all, any reopening of any talk about reopening the country, maria, there has to be the voices of working people on that because workers are out there right now risking their lives and dying to keep the country open. The second thing is, they have to adopt an emergency temporary contagious disease standard so that every employer out there would know whats required of them when people start back to work. Third, i really believe that they have to provide protective equipment. Fourth, we dont have the capability to test people to know who is sick and who isnt. We have to ramp that up tremendously. And fifth, i would just say this, maria. Any talk about going back to work has to be based on science and worker safety and nothing else. When that happens, then well go back. But until it does, were concerned about the health and safety of americas workers and were concerned about the country. Maria that makes a lot of sense. Let me ask you this, richard. You just said on this task force there needs to be a voice for the American Worker. Do you want a role on that task force . Have you spoken to the president about that . It doesnt have to be me. I didnt say a voice. I said voices of American Workers. Because if youre going to go back to work you need to know the people that are doing the work, they should have some voice in it. Not a group of people in an ivory tower somewhere saying okay, heres what you have. We have two groups of workers that were concerned about. We have people that are risking their lives serving the essential needs of america and we have people who are out of work through no fault of their own. Both of those have tremendous maria what do you think so what do you think about this Paycheck Program, richard . Because, you know, theres some criticism about it, certainly from senator Lindsey Graham among others who is going to be coming up on the show later on, who has said, look, in some states this flat 600 that are being given to workers in some states it will mean that the worker is making more money because depending on where the minimum wage is, the worker is making more money to stay home than he or she would be making on the job and thats going to hurt productivity and thats going to hurt any sort of enthusiasm to come back on the job. Why should i go back to work if im making more money staying home. Thats ridiculous. Maria really. People are defined by the work that they do and if you give workers money our country is 72 driven by consumer spending. Put money in peoples pockets and they will spend it. Even if somebody gets a little bit more than what they would have been getting on minimum wage, so what. Its going to help the economy. No one says anything when we give big loans to jamie dimon or anybody else. Give that worker that money. Theyll spend it. Theyll create demand. That demand will help us keep the economy going again. Maria all right. Ill tell senator graham what you said when he comes up and ill push back on that with that line of thinking, richard. Let me get veronica dagger in here. Richard, what kind of protective gear and protective measures are you hoping companies or the government takes Going Forward to get this reopened happening, are you seeing masks . Are you seeing temperature testing . And then for all the gear, who is going who are you hoping is going to pay for that . Is that going to be very specific to each company or whats your vision for that . Well, originally the Obama Administration had a contagious disease standard of osha. The Trump Administration scrapped that. So employers dont know whats required of them. Disease standard would require them to have a plan, to train their employees and provide protective equipment. It will vary with each one of the industries and quite frankly, it could vary by employers. But that standard is important so that Everybody Knows whats there. It would be all kinds of protective equipment. It might be masks in some instances. It might be shields in other instances. It may be a protective shield in front of you if youre a bus driver or transit worker. It may be separation if youre in factories and things of that sort. Its to keep the worker safe and thats the plan, was designed to do and we really regret that the Trump Administration scrapped that standard because employers would have known right now what to do and what was required of them. Now we have to teach them that all over again. Maria what do you mean . Employers would have known what . They would have known whats required of them. They would have had to have a plan. They would have had to educate employees on the plan. Maria on what. On health and safety, on the contagious standard. Maria what are you saying trump i mid f missed what you were missed what you were saying in terms of the administration. That standard was in place when President Trump took over. He scrapped that standard. We have none now. Maria i see. We have to recreate the standard that we have. Maria richard, you have to be happy about this movement to get production back to the u. S. , right . I mean, the administration right now is trying to work on getting supply chains back here. Its incredible to me that so many of our important products like the active ingredients in our prescription drugs are made in china. Well, weve been screaming about this for years, maria. As you well know. I talked about this on your show. Maria yeah. One of the worst maria you did. One of the worst kept secrets in the world is, we only produce 48 of National Security in this country. Maria how come they havent done anything about it in years . This is four administrations. Its outrageous. Richard, good to see you this morning. Take good care, okay. Richard trumka joining us there. Well be right back. I just love hitting the open road and telling people that Liberty Mutual customizes your insurance, so you only pay for what you need [squawks] only pay for what you need. Liberty. Liberty. Liberty. Liberty. Maria welcome back. Covid19s economic impact, Goldman Sachs saying advanced economies will shrink 3 35 this quarter. Joining me to talk about that is former defense and economic minister, kt gutenberg. Thank you for being here. That is a sharp contraction that we are all looking at in the Second Quarter. How do you see it . Do you think we are going to see as jamie dimon put it a severe recession, likely . I do, maria. Good morning from munich. Im here to talk to you from germany. So even from our european perspective, we see it similarly. The numbers are very bleak and the german numbers are all in all a little better than others but if you take the european perspective, i think that the term recession is the right term, not close to depression but recession really is a fitting term. Maria so, i mean, one issue has been that the european leaders cant seem to unite on the covid19 response. They cant seem to unite on economies reopening. Is that one of the issues here, from where you sit in germany . It is certainly an issue, and it somehow describes where we are in europe. We dont have a fiscal union, theres a european union, theres never been this kind of political and fiscal union so far. There is theres different Success Stories within europe, how to deal with that virus right now. As you know, germany is doing pretty well, so is austria, so some of the northern even some of the Eastern European member states. The south is in pure despair. Theyre coming back to the question, should we again bring up the idea which weve had during the financial crisis with a euro bond and the reaction from germany and austria and others was extremely harsh, right away they say we dont want that mutualization of debt. Lets find something that is a bit more flexible and so they are now pointing at the european stability mechanism, try to bring in the ecb. But there is no unity so far and this is exactly what we need, not only in europe. We need much more coordination also across the atlantic which is also not taking place right now. Maria heres jon hilsenrath. Kt, theres some this is kind of a question from left field but theres some people out there who think that china intentionally released this virus out into the public sphere to strengthen its own hand militarily as a bioweapon. What do you think of that as a former defense minister . Well, i am still in contact with my old body and that theory and nobody actually is believing that kind of Conspiracy Theory. Its truly a fact that china is the root cause of that virus but everyone is telling me this is not something made in a lab but something which has occurred naturally. However, china is taking enormous advantage of that situation right now and if you again, from a european perspective its breathtaking how active they are right now, how much they try to quote, unquote help in that situation and theyre the ones reaching out, theyre the ones bringing in the masks, theyre the ones trying to deliver ventilators. Maria they core nerd the market on masks. They cornered the market on masks, kt. They downplayed this disease from the beginning. Even though china produces half the world capacity in masks, they bought another 2 Million Masks on january 24th. They cornered the market. The virology lab that john is referring to is two miles away from the open market. It is a fact that the virus could have gotten out. You know that, kt. I do know that. I dont believe it was all set up just to weaken deliberately the socalled weapon a and take advantage of that i think theyve been hit hard. Maria i didnt say it was intentional. It could have been an accident. Why did they downplay it and not allow the cdc to investigate it. Theres a few reasons they downplayed it. They are dead afraid not to weaken their own government. This is something which is in their mindset, in their dna. Maria so they downplay a deadly virus . They downplayed the first few months significantly and they were also severely cheating the rest of the world of what actually was happening there. Still, i dont believe that kind of theory that they actually brought out deliberately that kind of virus. However maria nobody said it was deliberate, kt. No one is suggesting it was doppler brett. Kt what im saying is isnt it possible they were studying the coronavirus in the virology lab and it got out . And then they had that mistake that it got out so they downplayed it and wouldnt allow the cdc in there and cornered the market in masks, why . Nobody can exclude that. However, we are where we are right now and we have to deal with the situation as it is right now. And it has spread all over the world and i dont think it helps us now just to play a blame game here. It only helps us if you really come up with solutions and we instead of just finger pointing right now towards china and there are many, many reasons to do so, we should align on the Counter Measures and honestly nothing is happening here. Europes not reaching out sufficiently towards the u. S. , the u. S. Is not sufficiently reaching out to europe. Theres so many Lessons Learned. Some countries are dealing with it properly. Others dont. I dont like the numbers in the u. S. I dont like the numbers i see in some other european countries. And i just dont like the way we are not communicating with each other. So thats something i think that needs to be done, needs to be brought on the table here instead of only pointing at china. China is playing a bad game here, without a question. But we have to make our home work first. Maria kt, thanks very much. Great to see you, sir. Kt gutenberg joining us this morning in munich. Well be right back. Maria good tuesday morning. Welcome back, everybody. Thank you so much for joining us. Im maria bartiromo. It is tuesday, april 14th. Your top stories right now, 7 3. Markets are higher, pointing to gains at the start of trading as the white house looks to get america back to work. Take a look at the numbers, dow futures now up 260 points, nasdaq futures up 104, s p futures up 26. This on top of a tough week last week, the dow, s p 500 finished down yesterday, but well off of session low as you can see, the dow was down 328 points yesterday, 4 00 on wall street, nasdaq was up 38 points, Third Straight day of gains for the nasdaq. European indices are mixed, we got news out of france, french president Emmanuel Macron extending the countrys lockdown, aiming to start opening the economy and schools on may 11th. In asia overnight it was green across the board. We did have better than expected Economic Data out of china, exports were down 6. 6 in march, imports were down nine tenths of a percent, better than estimates out there. Oil prices are down despite a major Production Cut deal, leaders agreeing to an historic Production Cut, coming up in the program, ill be speaking with the Energy Minister of saudi arabia, an exclusive interview there. You dont want to miss that. Meanwhile, much needed help for major u. S. Airlines this morning, that is being held up. Cheryl casone with details there. Amazing how this has really not been as much of a slamdunk as some people thought, cheryl. We got more issues here. Cheryl a lot of back and forth between the airlines and the government and what the terms are going to end up being if they even happen. Half of the 50 billion from the governments coronavirus package will go towards paying airline employees. But the terms are still being negotiated between the executives of the airlines and the Treasury Department. The treasury secretary, Steven Mnuchin reportedly said the 25 billion will be in loans, the government expects 30 to be paid back. Airline officials believed the aid would come in the form of grants as in they didnt have to pay back the money. Taking a look at the stocks in the premarket, all of them are higher. Weve got a Broader Market uptick this morning as well, in particular out of that group, as you can see, united the biggest gainer this morning. Well, groupon is expected to lay off or furlough more than 40 of its staff due to the coronavirus which has been forcing stay at home orders across the country. The Company Approved a Restructuring Plan that will cut around 1400 jobs globally by the end of the Second Quarter with more cuts in july of 2021, or at least by july of 2021. Groupon said local performance dropped 50 in march, 80 this month so far. Struggling to stay open, dap Restaurant Group in tampa made the tough decision to sell the most valuable item in their inventory, a 25yearold bottle of old rim van winkle rip van winkle bourbon. It was sold online to a local veteran. When the man showed up to pick up the rare bourbon, he handed them a check for twice the amount, 40,000. The owner was so blown away by his generosity, they say they plan to pay it forward when they get back on their feet. Another example, maria, of americans helping out other americans during this pandemic. Back to you. Maria i love that story, cheryl. Thats a good one. Thank you very much, Cheryl Casone there. President trump making his position clear yesterday that it is his call to open and reopen the economy. When somebodys the president of the United States, the authority is total. With that being said, were going to work with the states because its very important. We have local government that hopefully will do a good job. And if they dont do a good job, id step in so fast. But no, they cant do anything without the approval of the president of the United States. Maria well, that did not stop Governor Cuomo yesterday from leading a delegation of governors in a press conference. They talked about northeast states aims to reopen the economy without sacrificing the gains made so far. Six governors were with were together yesterday and Governor Cuomo led it. Veronica dagger, weigh in here. Because this debate is emerging over who has the final say on when to begin lifting restrictions but the journal writes it in an op ed this morning, reopening the economy at last, the governors, all democrats, stress in the video that any economic opening wont be rushed, at least theyre thinking about it writes the editorial board. Right. So we all need to be thinking about it because this cant go on like it is forever. I think this sort of debate on who gets credit for the reopening can be a bit silly. I think what the American People want, yes, we want things reopened but we want things done in a safe, healthy way, that is not going to set us back. So whatever that means, lets do that. And lets leave the politics out of it if we can. Lets just come up with a plan that everybody can move forward with thats going to minimize the already incredible damage thats been done to this economy. Maria yeah, i mean, dagen, you had to wonder when there would be pushback between the governors, the democratic governors and President Trump. Theyve been working so well together. Complimenting each other on this crisis and now youve got the fight on who is in charge of reopening the economy. Dagen so mark this down, this moment in time where im not going to be negative nancy. Okay. Which i have a tendency to do. I think that we will have the president and people in washington getting along with all of these governors and trying to come up with a checklist to ensure the safety and health of the residents in these states and across the country and also get back to business in a measured, careful way. I notice that governor romondo from rhode island was on the call, was on part of the collective of northeastern governors. She had the National Guard in the state going doortodoor, basically telling new yorkers to quarantine, looking for new yorkers and they resolved that. Govern know cuomo Governor Cuomo threatened to sue the state of rhode island over there. Now shes part of that. I wanted to bring up something that a doctor, someone im very close to who is a doctor, he said one of the issues is that we still have a real lack of Health Information about issues over the case fatality rate, the true prevelance of this disease, the timing of immunity, things of that nature. He said we need better data and obviously better testing before we can come up with a hard core plan on how to get back to work. Maria yeah. And thats what really was being talked about yesterday. I mean, how will things change once we do go back . Will people be Wearing Masks all the time when theyre in public . Will they want a different seating arrangement when they go to restaurants . I mean, coronavirus taking its toll certainly on the food supply as well, Grocery Stores, factories, manufacturers, all showing signs of strain as more workers call out sick amid the coronavirus outbreak. Smithfield foods, one of the largest pork processing plants, closing indefinitely after nearly 300 employees contracted covid19. The ceo there said that the pandemic is pushing meat supply in the United States close to the edge. My next guest is the head of the u. S. Division of the Worlds Largest food company, joining me right now is nestle chairman and ceo, Steve Pressly. Thanks very much for joining us. Im glad youre here. We want to ask about the food supply chain. What can you tell us in terms of the impact from covid19, steve . First, thanks for having me. I appreciate you having me back. And what i said before before i go into that, i want to take a moment to really thank the almost 40,000 employees we have in the u. S. That are truly on the front line every day, focused on making sure we get product into the Grocery Stores to help consumers get what they need to get through this crisis. And so for us, i think in the during the crisis, our supply chain has remained robust and we continue to be able to meet the demands, the increased demands weve seen across all of our categories. Maria okay. And whats your forecast in terms of the best way to reopen for business once this pandemic ends . Youre a businessman. Youve seen the loss in terms of what this has done, not just to business but to individuals. Nothing is open. People are not spending money. How do you see things reviving Going Forward . What would be your best advice for the president at this time . You know, we continue to follow the advice of the Scientific Community and the Healthcare Community and focused on doing the right thing longterm to get this through and for us in our business we continue to operate to make sure we can get through the crisis, help our consumers get products on shelves and in their homes. That kind of first step of normalcy is when they go to the Grocery Store and theres products on shelves. So for us, i think well leave the decisions in terms of when and how to reopen to the Scientific Community and the local politicians. Maria and theres been no issue to the actual food supply, is that right . For us, no, we havent had any disruptions to our supply chains. Clearly, the increased demand i think youre seeing the iri data and the nielsen data, the increased demand we saw in march as consumers really kind of stocked their pantry and pushed the supply chain hard, put pressure on the supply chain overall but we havent had any major disruptions. I think this crisis is causing all of us to kind of learn and lead in a different kind of environment and what you said earlier where you have more callins or whatever the issue is that were dealing at the factory level, i think weve been able to adjust around that, been able to continue running our factories and continue to get product out to the customers. Maria so steve, every time i see the world nestle i think of chocolate. I know you dont sell chocolate in the United States anymore. I want to get your take on demand across the other categories, like frozen meals and water and baking. What kind of demand are you seeing today in the face of this . Are people buying differently . Yeah, they are, actually. If you look weve got such a broad portfolio and youre right, in the u. S. Chocolates no longer a big part of it, except one specific example where we are still in chocolate is in toll house. We have seen a change in Consumer Behavior as theyre home more with their families more, this return to baking where weve seen the baking category, hol toll house and carnation milk business as people are baking more with families. Our frozen pizza businesses, di weve seen increased demand if you look at the march iri data, i think the peak of the pantry loading was probably around 50 increase on all of our frozen meals, all saw that heavy increase. But our portfolio is so broad that weve seen the increases really across coffee is up significantly, creamers business, so we kind of saw that trend go across all of our categories. I would say we start to see it coming back to not normal yet but certainly slowing down in terms of the excess demand. Maria im glad you mentioned baking. I was looking the other day online and also on youtube and there is a lot of stuff on baking right now. Youre right. I think having people with the stay at home order has them doing more baking which i think is really interesting. Steve, you know, earlier when jp morgan reported their First Quarter, jamie dimon, the ceo at jpm, said that because there is likely a severe recession, we had to raise all this capital to be ready for it. So i ask you, is that what youre looking for too, a severe recession . You know, i think clearly a healthy consumer is healthy for our business and as we come out of this, i think its too early to know how long the recession will last. Well clearly come out of this with higher unemployment and there will be a shortterm impact associated with that i think we need to wait and see how fast the economy rebounds. For us at nestle what were focused on, people continue to eat and drink whether in a recess or out of a recession, so how do we better serve our consumers needs through all of our brands in the recession or out of the recession. As we look at this, does value become a more important proposition, does it delay some of the big launches we were looking at, its more how do we prepare to be ready for that. Maria all right. We will leave it there. Steve, its great to talk with you this morning. We so appreciate your time. Thank you, steve. We will see you soon. Thank you, maria. Maria Steve Pressly is the ceo and chairman of nestle. Coming up, we have the Energy Minister of saudi arabia on the historic Production Cut deal, plus we are talk about markets which are up this morning. Back in a moment. Stay with us. Every Financial Plan needs a cfp® professional confident Financial Plans, calming Financial Plans, complete Financial Plans. Theyre all possible with a cfp® professional. Find yours at letsmakeaplan. Org. Maria welcome back. Fight or flight, cash strapped airlines during their credit Card Partners to sell miles for money. Grady tremble is live in chicago with more. Grady. Reporter good morning, maria. This is normally one of the busiest airports in the world but for the past few weeks this is what it has looked like and this is why the airlines as they get closer to a federal aid deal are looking into other ways to generate cash as well. The wall street journal reports united and delta are looking into selling Airline Miles in bulk and at a discount to their credit Card Partners. I reached out to both united and delta. Neither of them would comment. But they also didnt deny that they have had those conversations. And you can see why they need to generate cash. Air travel has just dropped drat particularly over drastically over the past few weeks, down 96 compared to the same day last year when you look at tsa screenings. There were 2. 5 Million People who went through tsa this time last year, down to 90,000 over the weekend. When you see airports this empty, its hard to imagine too many people wanting to get onto planes, let alone get onto international flights. United is actually adding flights in the coming weeks. Bay may 4th they hope to add four flights, three of those to europe and one of them to argentina. United says its actually seeing some passenger demand at those locations but as of right now theres a ban of travelers coming into the United States from europe so it will be interesting to see if come may 4th they actually go forward with those flights. But thats the latest here, maria, as we wait for a deal between the airlines and the federal government which by the way could come as early as today. Maria. Maria all right. Grady. Thank you. And that deal that could come as early as today, dagen mcdowell, may very well include equity stakes by the government which will also mean some restrictions for the ceo pay, for stock buybacks, et cetera, which is exactly what larry kudlow told me on this program a couple weeks ago. Dagen and its not i dont think that its unreasonable. If youre expecting a second bailout in less than 20 years, and where these airlines where did they spend their money . How did they manage their cash . Theyre in the business of managing around a crisis, not one as big as this but nevertheless delta paid out i keep saying this, but delta paid out 1. 6 billion in bonuses in the middle of february to its employees. I know what theyre doing. Theyre trying to raise as much cash to avoid taking money from the federal government. Grady was talking about it, they literally mortgaged every asset potentially, even in the back of the hangar, as the wall street journal wrote, to raise money in this including potentially selling these miles to credit card companies. But nevertheless are we going to get Better Service from these airlines . We hate them more than the banks right now, dont we . Again, as much as weve been crammed into the seats and the service has just been awful. Youre going to charge me for a checked bag and holler at me and fuss at me if im not sitting up straight in my seat. Man, we hate the airlines right now. [ laughter ] maria weve got a lot coming up. Coming up next, were looking at sports and the impact there. My exclusive interview with mlb commissioner rob manfred on bringing back americas past time, how is that going to play out . Back in a moment. Seeing the break in the clouds before anyone else. Together, well weather this storm. Some because ourstop. Communities need you. Which is why were working to keep you working. And ready to dig in. To help you keep your properties and towns maintained. Your farm running. And construction moving. Your work is essential. Kubotas 1,100 dealers are behind you. Together we will get through this. Call or email your kubota dealer about 0 financing. No payments for 90 days offer expires 5 31. Together we do more. The xfinity my account app puts you in control with Digital Tools to give you the help you need when you need it. Get fast and easy answers with personalized help 24 hours a day, 7 days a week. Change your wifi password to a phrase thats easy to remember. Even troubleshoot your services on your own. Were working to make things a little easier for everyone. Download the xfinity my account app today. Maria welcome back. Wells fargo out with its quarterly earnings. Cheryl casone with the details. What we heard from jpm, now its wells fargo. Cheryl the earnings per share was 33cents. They came in at a penny. They explained why, its because of the reserve buildup at the bank. It happened in the month of march. The revenue, came in at 17. 7 billion, light on the revenue, light on the earnings per share. If you go through the headlines, they explain obviously the reasons why. Quarterly results, heres one. Impacted by a 3. 1 billion reserve build. So they obviously started to build the reserves at the bank. They knew they were going to need liquidity and they will. Remember, this is wells fargo. And the new ceo, charles shot, just came into power back in november of 2019. We saw the stock moving up 2 andahalf percent ahead of the earnings, maria. The stock is actually up a little more than 2 . So basically they missed and theyre saying that their customers, theyre suspending Residential Property foreclosure sales which is something we saw. Theyre offering fee waivers for customers, providing payment deferrals among other actions. Remember, theyre trying to keep customers in line. The biggest part of wells fargos business as you know is the mortgage side of the business. And thats where they really have to make sure that they keep things kind of afloat. Some net chargeoffs and Different Things but overall not a big surprise for wells fargo and the stock is moving higher. Its actually pulling back a little bit, marie y its up about a little more than 1 right now but thats the news from wells fargo. Maria and this is pretty much in step with what jamie dimon was saying in terms of the need to make sure to build up reserves because of the expectations of a rough economy. He calls it a likely severe recession. Wells fargo also raising reserves as you just heard from cheryl. Stock up one andahalf percent this morning on those numbers. Meanwhile, the coronavirus pandemic leading the Stores Leaving the sports world at a standstill. Major League Baseball suspended the season before it began. New reports of behind the scenes plaging offering at planning offering at least a glimmer of hope for baseball fans across the country. Joining me now is Major League Baseball commissioner, rob manfred. Great to see you this morning. Thank you for being here. Tough times. How are you doing . Im fine. You know, working hard and trying to navigate through whats a very difficult time for us and for everybody in the United States. Maria so what are the plans . Of course there, are reports as i just mentioned of a pea ten pl plan where spring training leagues would be used to minimize travel and reduce exposure. What are you thinking about in terms of reopening or pivoting baseball today . Well, most important, the only decision that weve made, the only real plan that we have is that baseball is not going to return until the Public Health situation has improved to the point that were comfortable that we can play games in a manner thats safe for our players, our employees, our fans, and in a way that will not impact the Public Health situation adversely. So right now its largely a waiting game. During that period, as you might expect, any business we have engaged in contingency planning. We thought about how we might be able to return in various scenarios. But again, the key is the improvement in the Public Health situation. Maria for sure. Commissioner, assess the situation for us, because people sometimes forget how many legs this story has and how significant the impact is across the tv world, the advertising world, the fact that live sports has been shut down. Its not just the fans. But this is a huge business. This is the highest premium intellectual property of anything, live sports. So give us your assessment in terms of where we are today. Well, you know, you have to begin with the proposition that baseballs a seasonal business and unfortunately for us the pandemic struck right at the low point for us, right before we begin our season. Its had really serious impacts on our business. Obviously, 40 of our local revenue is gate and gate related. Obviously thats all at risk right now. We do have both significant media contracts, both national and local, but at the end of the day those contracts are dependent on our ability to provide content to some of our great partners like fox. And so it is a difficult situation. The owners have responded with efforts to help all aspects of what we think of as the baseball family, from the day of game workers in stadiums, they donated 30 million to relief there. We joined with our players, 345emadea Million Dollar contrio feeding america and meals on wheels. But despite and weve kept our employees employed. I mean, in general, certainly the Commissioners Office and the clubs kept our employees employed fulltime and earning their full salaries in the hope that well be able to come back quickly. Maria i love the fact that the mlb partnered with fanatics to manufacture masks and hospital gowns at the factory, from materials used to make mlb jerseys. That is wonderful. I want to talk about that but let me get your take first on this idea that the entire league would mass in arizona and play the season throughout various stadiums and facilities in arizona. Is that plan off the table at this point or are you considering that still . You know, we have a variety of contingency plans that we have talked about and worked on. Plans may be too strong a word. Ideas may be your word, may be a better word. But all of them are designed to address limitations that may exist when businesses restart. Travel limitations, limitations on Mass Gatherings that may still exist and we thought about ways to try to make baseball available to all the fans across the United States in the face of those restrictions. So from our perspective, we dont have a plan. We have lots of ideas. What ideas come to fruition will depend on what the restrictions are, what the Public Health situation is. But we are intent on the idea of trying to make baseball part of a recovery, the economic recovery and sort of a milestone on the return to normalcy. Maria well, a couple things that youve done, you launched a 30 milliondollar effort to support ballpark workers who have been impacted by the void of games. You announced a joint one Million Dollar fund to speed Food Assistance to those impacted by the crisis and you partnered with fanatics to manufacture masks and hospital gowns at the factories. You are doing all the right things ahead of the Fan Engagement day this wednesday, is Jackie Robinson day, april 15th. I had the opportunity to meet Rachel Robinson and i was floored by how lovely and wonderful she is. Im happy you treat this as the holiday that it should be, commissioner. Well, two piece toss that i mean, two pieces to that. Rachel robinson is an american treasuretreasure, she is a phenl woman. Maria i agree with you. She really is fell o phenom. The commemoration of Jackie Robinson is a crucial part of our history. We tried to take key dates in the baseball calendar and give our fans the chance to engage in the games in the absence of games being played. We did that with opening day at home. Which is a real success for us. We hope Jackie Robinson day will be another one. Hats off to the clever content people at baseball for coming up with good ideas for our fans. Maria really great. And thanks for all youre doing to give back during this moment of crisis for the country, rob. Its great to see you this morning. Thank you, commissioner. Good to see you as well, maria. Thank you very much. Maria we look forward to things getting back to normal, rob manfred joining us this morning, commissioner at the mlb. And good morning everyone. It is tuesday, april 14th. Im maria bartiromo. Thanks very much for joining us this three hours, your top stories right now, 8 00 a. M. Eastern on wall street. Getting america back to work, some states planning action to restart the economies and plumb says he has the total authority on reopening business. Earnings season kicks into high gear this morning with two major banks reporting their First Quarter earnings. Jp morgan chase out last hour. Ceo jamie dimon saying the likelihood, quote, of a fairly severe recession made it necessary to build credit reserves of 6. 8 billion. Resulting in total credit costs of 8. 3 billion for the First Quarter. Wells fargo also building up reserves and saying it is committed to using financial strength to support the u. S. Economy. Both Companies Reporting earnings that were below expectations. We knew that was going to happen because its been a dead First Quarter. Jp morgan shares non nonethelese up 1 , wells fargo down a fraction. Johnson johnson out with a double beat this morning, it is increasing the dividend by more than 6 , stock is up three and a third percent on j offend j e Company Continues to look for a vaccine and goes to Clinical Trials later in the year on the vaccine. Futures pointing to a rally at the start of trading. The dow industrials right now bouncing up 324 points, this is the high of the morning, up one and a third percent, the nasdaq up 135. This on top of dow and s p 500 finishing down yesterday, well off the session lows. The nasdaq was positive. It recorded its Third Straight day of gains. On capitol hill, the battle over additional Coronavirus Relief is continuing to wage on, South Carolina senator Lindsey Graham will join me later this hour on whats holding up the much needed money he is going to assess the situation and also look ahead if theres going to be another relief package coming. Turning to the 2020 race, former Vice President joe biden picks up a big endorsement from former rival, senator Bernie Sanders. Mornings with maria is liv. We check Global Markets the fact we see a positive tone on wall street Global Markets mixed european union, as you can see, showing ft 100 down 35 points cac quarante in paris, up 12, the dax in germany up 111 points right now, he french president macron extending lockdown aiming to start opening the economy schools on may 11. In france, in asia overnight green across the board, we did get betterthanexpected news on the economy out of china, china exports down 6. 6 march from a year easterly imports down 9 10 of a percent both in fact better than expectations. Oil prices this morning are down, despite leaders agreeing to historic Production Cut price of oil 21. 72 a barrel, speaking with Energy Minister of saudi arabia coming up in an exclusive interview this morning stay with us on that joining the conversation dagen mcdowell, veronica, jon hilsenrath, this morning on a busy morning great to see everybody this morning. Great to see you maria. Good morning. A good morning. We got a let to talk about guys i know we are kicking off the firstquarter earnings season so we will have a lot there, of course, youve got everybody from governors to president talking about reopening the economy. That is some of the top stories this morning in fact, four states are under a state of emergency for covid19 as well as Severe Weather brute storms killing at least 30 people flattening communities after more than 50 tornados ripped across the south. President trump to raise spirits promising frlg to step in . Will do Everything Possible to get communities back on feet speaking with governors, representatives, fema already on its way, we just want to say, warmest condolences, and we are with you all the way. Maria the violent storms forcing six states to close or relow tate sites for coronavirus despite of course, risks covid19 officials urge number one priority should be protecting yourselves from a possibly tornado storms expected in florida georgia coast as well, number confirmed cases of the coronavirus worldwide is nearing the two million mark. Incredible numbers those doubled in under two weeks, United States, leads the list of Top Countries with most cases, if you believe chinas numbers, many people do not. This as another grim milestone is reached at home, officials in wyoming confirmed first death from virus americans have now died in all 50 states. As a result of covid19. There is good news to report, as andrew cuomo governor new york epicenter of outbreak at home says the worst is over, his words not mine. Cuomo said this can only work if state follows social distancing guidelines, it will continue to great better we have to keep on it more than 10,000 people have died across new york state from coronavirus new york city being highest death rate in the state. President trump says he has total authority when it comes to how and when to reopen the economy, amid the pandemic making that statement to reporters yesterday at the white house after two groups of governors say they will Work Together to at a gradually allow americans to return to work, that was being led by Governor Cuomo. Trump added his administration is very close to completing a plan, to reopen the country. 2020 race getting impacted from interest Vice President joe biden picking up endorsement from senator Bernie Sanders this as biden merging victorious in wisconsin controversial primary joining me House Energy Commerce member michigan congressman Debbie Dingell a pleasure to see you. Thanks for being here. Good to be with you. Maria how are you doing how us your state doing in terms of coronavirus debbie . Well, i think 30 days social distancing i havent seen a human being since this so i may be raving mad but doing the right thing one of the states that has been hit hardest lost 20 people i have known in the last three weeks, and really hard there is no o mourning there is no what were trying to do is to do as Governor Cuomo has done mitigate it, we are all working to being, we continue even as may be there is a sign of hope as you are seeing in new york but still getting exceeded 200 deaths yesterday still dont have enough ppe equipment, but we are also starting to have conversations of when you get through it how do you reopen. Maria that was conversation taking place yesterday, with Governor Cuomo, you mentioned the governor obviously, lauded for leadership during this crisis now joe biden has committed to choosing a female running mate on short list with Kamala Harris Amy Klobuchar michigan governor Elizabeth Warren could be potential picks according to New York Post congressman what about andrew cuomo do you think biden would like andrew cuomo as running mate. I think i have known andrew 30 years i think he was made to lead in a crisis has done a great job, but joe biden already made a commitment that he will appoint a woman, and i think that you should expect a woman will be appointed i dont even know if one of those four names you list will theed but i think he made that commitment that hays what you should expect. You know when you look what has taken place with joe biden obviously, got Bernie Sanders support gotten a lot of support you know he makes a lot of gaffes people question if he is able to sustain by november as democrat in leadership position would you support supporting cuomo instead of joe biden. No, look i am going to tell you something right now i am not doing any politics. I think we have all got to Work Together i have with people scared to death living with people scared to death trying to figure out how you reopen a factory, American Auto industry backbone of American Economy i am dealing with president of uaw Vice President , workers they know role they have to play. How do you make sure workers he arent afraid to walk into a factory reopen an economy i have no use for politics period on any Work Together. As to i understand what you are saying but to be clearity fair debbie we have an election in november. You know. You know what a pandemic everything changed everything has changed. Everything has changed, i think it is for most people it is inappropriately right now to campaign we dont need to take shots at each other, i have not done a Single Campaign since this pandemic started. Maria what shot was i taking asking if you would support cuomo, what shot is that . Okay, okay. No, no. Maria i want to give you my condolences congressman i did not know you lost some people last three weeks terrible so sorry to hear that congresswoman last thing i wanted to hear as to what you have been through. I think you find it in high people in new york city have that many people they know i am not saying there is not going to be a time fire politics i just think right now, i would like to see president and joe biden Work Together, lets get through the crisis. Then we can take appoint fingers how did it happen make sure doesnt happen again right now i think Wasting Energy to put political fighting when we need to all be together, fighting an invisible enemy there is nothing not like there it looks like theshl building up to something president in washington saying i have total control tell you when economy opening andrew cuomo in new york surround bid five governors in unison saying we are going to open our region of the country dagen, yesterday, pictures sidebyside set up for political fight. Between President Trump saying what i thought. You are right about that the president has got to work with those governors they are the ones on the ground the ones that know their state, i tell you Something Else i sent to white house last week sent to my governor a democrat so hard last week you cant just bring business together youve got to bring that worker as part of the discussion because they are greatest asset a lot are afraid to go back to work, they are scared to death about having lost jobs how are they going to live scared to death what it means to go back to work too. Maria i understand that, congresswoman good to see you morning. Thank you so much. Good to see you be healthy. Congresswoman Debbie Dingell and to you thank you so much stay strong safe, South Carolina senator Lindsey Graham moments away we will get to him coming back talk about Small Business with the senator, stay with us. To keep customers and employees in the know. To keep business moving. Comcast business is prepared for times like these. Powered by the nations largest gigspeed network. To help give you the speed, reliability, and security you need. Tools to manage your business from any device, anywhere. And a team of experts here for you 24 7. Weve always believed in the power of working together. Thats why, when every connection counts. You can count on us. Maria business fighting for survival as coronavirus wreaks havoc on what was a booming u. S. Economy the first round of stimulus checks began depositing into Millions Bank accounts yesterday, could washington coronavirus package be incentivizing workers to leave jobs, in order to collect the stipend my next guest warning of just in a joining me South Carolina senator Judiciary Committee chairman Lindsey Graham senator great to have you this morning thanks very much for joining us. Thank you, thanks for having me. Maria so this is just one issue, that you and have i spoken about in the past, that people in South Carolina are making more money staying home than they are at work, but there are other issues as well, i want to get your take on first receiving a the ppp Paycheck Program from Small Business administration, how are things going senator . It is getting better. There are more loans going out the door a good program the goal of the program is to keep Small Businesses from going bankrupt because they have been shut down to do deal with mitigation restaurants bars gyms all kinds of places shut down people cant show up in large numbers. And the forgiveness comes if the employer borrows the money keeps people on payroll the goal for forgiveness sake is to keep people from going on unemployment. Here 2is problem in South Carolina you are giving 23 dollars an hour tee in employed business pay 15, 16 dollars an hour to employees so there is a tension there, undercuting the purpose of the program, which is to keep people on the payroll and weve got to deal with that. Maria are yes, i know that, and that is one issue but there is another issue as well, because us the whole idea of giving a Small Business this is what i keep railing about i have been talking about this for a week 8week period he had where a small the money sent outdoor to employees so employe stays on payroll great for emapplie not stopping the Company Going br bankrupt they are there no revenue coming have in if Paycheck Program could move timeline where is the you start clock tickeding on 8week period out of a shutdown i think probably doable for some businesses keep them alive not in 8week period while they are still shut down. Lets unpack that that is a really good point under the law 75 of loan has to be given to pay payroll, a lot of places like new york, the rent, and all the business expenses probably more than 25 , so that 7525 needs to be revisiting the goal to keep the company from going bankrupt and while shut down for the company to pay employees so they dont have to go on unemployment. Well the problem is unemployment pays people more than they actually make so you are having people not stay on payroll but draw Unemployment Benefits may make it hard for employer to get forgiveness if he cant retain 75 of employees. So the unemployment system is undercutting fda loan program. Exactly what do you want to do about that i know that there is conversation now, about the additional money going into the program because the money is already ring out. Correct. Maria youve got to look at the Small Business administration, and recognize that they gave out you the 23 billion dollars, one year, and now expected to give out 350 billion dollars in three weeks, so i get that. But what kind of changes will we see senator . Number one i want to look at changing the 755 split so businesses can have more money to pay business expenses, number two, i want to make sure, that we. Bingo. To go into unemployment the goal of this program is to keep people off the unemployment rolls. The third thing i want to make sure money is going to main street not people really well off or taking advantage of the program more should go through Community Banks we have 500 banks participating in this program what i worry about is pretty solvent businesses seeing an opportunity to get 10 Million Dollars free from federal government. So i want to focus on main street, the small, Small Business, and have more Community Bank lending instead of big banks that is another thing i worry about. Maria so are you doing hearings on this . How will you move the neil make changes . Everything you say i heard exact thing from Small Businesses senator. Yeah, well this has been a good program the purpose to keep the business from going bankrupt, and having people on a payroll, rather than unemployment, unemployment system has never envisioned teen more skren rows than staying on payroll. Weve got to fix that cant do that for four more months we are going to add people to unemployment roles you may have incentive in Unemployment Benefits taking people out of workforce larger than virus itself weve got to make sure money going to small besides, not people pretty well off, and weve got to change 75 25 so person doesnt lose their business if you dont do those three things this program cannot be highest and best use. Because it did not start out so smooth. Did it . Well but, you know mnuchin has done good job, i mean. Maria yeah. We are talking about 20 of the country being unemployed you cant get through to unemployment agencies my state has processed 180,000 unemployment claims. You are having cannabis dump employees into unemployment they keep paying Health Insurance no system was ever set up to run this way maul Small Business program is disdained to keep people out of unemployment, and i think being undercut by the benefit schedule. Yeah let me ask you about this senate adjourned yesterday without either party attempting to pass stalled coronavirus bill for the second time, the meeting was approximately 30 about he seconds dlaeg dlaig until thursday what happened. I think see see need to put more than into Small Business loan program hill utilized i want to make sure the money is being lent to the people who need it the most, need to revisit the 75 25split reform unemployment system i want to put more into the program. Democrats want to put more money into hospitals, and state coffers the emergency Small Business loan program is ring out of money we should do that first with some reform people keep asking when is it going to get better it is never going back to normal until we get vaccine drug therapies i think 2020 is lost for tourist purposes i cant imagine smierna beach searching much this summer, football you are going to have empty stands we need to get programs right this problem is going to be with us for most of 2020. We saw earnings this morning jpmorgan profits plummeting wells fargo raising money because talking about jamie said expecting seaver recession you say off summer write off all 2020 . That well here is what i am saying i live in a tourism state i was on phone yesterday with a bunch of people on restaurants, bars, golf courses i do not see june, july, august being a full summer in term of tourism i see this virus coming back in fall i think doing a good job to be ready for fall drug therapies from 10, 1, 2 essentially probably next year i see reviewed football seasons in terms of people being present at game i hope we can play football i dont see full stands, these programs loan programs are vital to keep american Small Businesses from going bankrupt the Unemployment Insurance program is to keep income stream coming into people until we can reopen the economy both need to be looked at the unemployment system is failing this country. Maria on top of that, speakering of your home town a disastering tad tearing through your home town yesterday morning rescue teams on the ground responding. We send you our good wishes, and best regards on that, i mean, can you tell us anything about 2 impact there . Have a yeah, so Alert Systems work from my phone went off 3 30 the night before last, safering shelter i thought a train was coming through the house. It hit a neighborhood above me very hard. We lost one person in seneca my hometown hit by es hurricane a person killed cte worker at borgwarner would normally have been operating third shift with 300 people because of coronavirus empty i guess a blessing in goodisguise. Is it likely a fourth p relief package at this point last package you had so many people, your colleagues on the left trying to jam in other things like funding for he planned parenthood you had to agree to 25 million for Kennedy Center but what is the fourth package going to look like. President trump i think has done a damn good job of lowering at the projected death rate he made three Big Decisions closed travel down from china and europe ro, right . And he put in place some strong mitigation practices in march, for us to reopen economy we are going to have to have a vaccine therapies to keep people healthy what i want in this tangibling is a stimulus package telemedicine coming on line a big by a i he want brand band to rule america to receive telemedicine highest and best use i think you are seeing from this package that have to about stimulus in Fourth Quarter there is no economy to stimulate right now the package has to be forwardlooking cant have pork in it has to be about rebuilding the country getting people back to work not about your pet project. Do you want something in there that forces companies to move supply chains out of china back to the United States . Absolutely when you do a deep dive Lessons Learned we cant have 90 antibiotics made in china cant have most permanent protective equipment outsourced weve got to bring it back into the country if we dont punish china there will be a fourth pandemic this is third pandemic to come from china wet markets are pandemic incubators, if we donthold china have been accountable as a world not just a nation you can expect more weve got a lot to do i hope we have election no november people can actually go to the polls. The president in my view avoided 2. Million americans from dying because he rehe rejected the herd theory through society build up immunity thank god rejected that under best scenario looking at 100 to 240,000 deaths i think we are going to beat that. Maria and thank you for your leadership, senator quick before you go you said china has to be held accountable. What are you going to do . I would basically punish the hell out of china we have 1. 3 trillion dollars in treasury notes they hold we owe them money would i start taking money away from china, mar 1458 blackburns bill tom cotton has legislation to move supply chain back. I start literally sending china a bill for the 17 Million People unemployed, 23,000 deaths. Maria all right. We will leave it there always a a pleasure to talk with you thanks so much. Thank you. Maria good to see you senator. Lindsey graham joining us key Economic Data on the other side of the break import export rises out at 8 30. Well be right back. As we work to get through these times together, you may not be thinking about blood donation, but blood is needed to save the lives of people who are sick with a range of illnesses. Its easy and safe to give. If you are in good health, please donate. We need heroes now. Visit red cross blood dot org to schedule an appointment. Am maria bartiromo. Tuesday, april 14 we are standing by for march import export prices markets getting into numbers futures again start of trading white house looks to get america to work dow futures up 355 points high of the morning this morning nasdaq up 1467 points the s p up 41 a host of Bank Earnings out also adding to moves Global Markets in morning european indices mitigatored french president macron extending his countrys lockdown aiming to start opening economy schools may 11 f00 down 35 cac quarante pares up 11 dax in germany up 14 in asia overnight green across the board, we did have betterthanexpected Economic Data coming out of china oh, ports down 6. 6 in march from earlier imports down 9 10 of a percent both numbers better than expectations. As you see japan up better than 3 , oil prices are falling this morning despite leaders agreeing to an historic Production Cut oil prices down 72 cents a barrel 21. 69 a barrel breaking news the interval Monetary Fund cutting outlook Cheryl Casone request details now cheryl, they always make a move on Global Economy right before spring meetings this is a big one. Cheryl it is a big one the numbers are pretty big the new estimates from the imf estimating global gdp going to fall 3 for the year that is down more than 6 Percentage Points from ims january forecast with everything going on, numbers make sense imf saying this makes what it calls Great Lockdown the worst recession since Great Depression negative comments from imf expect Global Growth in 2021 to jump to 5. 8 if pandemic fades second half 2020, and if policy actions prevent devastating damage to Global Economy crossing from imf futures right now 361, now to espn asking 100 of tiest paid commentators take 15 pay cut next three months in order to help others keep their paychecks during coronavirus pandemic New York Post reporting smith got among those have agreed to this so far, pay cut follows executives having pay reduced by 20 to 30 after network has been scrambling to fill airtime since shutdown of major events, disney taking pay cuts, premarket up more than 3 , ceo bob iger has forgone his entire salary premarket. Now roku added three million accounts First Quarter millions americans under stayathome orders make streaming devices hours um nearly 50 from last year. Afterhours monday announced expected revenue higher than expected going to release firstquarter results may 7 roku premarket up 15 and change. Finally, maria dr. Birx is not just for White House Task force she is at center of viral Instagram Account deborah birx was started by woman in texas a big fan and especially outfits features daily pictures revealing brand price of doctors birxs signature accessory i am curious what she is going to wear when she compodium. Sports chic skaefshz very well. Futures pointing to gain start of trading this morning, we are expecting, a gain better than 360 points 1 2 higher ony hopes of rereopening u. S. Economy banks reporting earnings we heard that jpmorgan as well as wells fargo numbers joining me right now chief Investment Officer kyle, great to have you thanks for being here you heard earnings from jpmorgan and wells fargo interestingly, while jpmorgan reported plunge in profits we, of course, expected given First Quarter, jamie also said that because of the likelihood of a severe recession they were raising reserves in significant way total cost up above 8 billion dollars on reserves your reaction to that. I mean look, maria, we have 16 mill people out of work we think another 4, 4 1 2 million filed claims last week so weve got 20 million or 16 of our workforce is out of work. And i think it is important to note that this isnt just going to snapback this is taking a long time to grind the unemployment numbers down from the 16 plus, to back to more manageable level we were down 3 unemployment, so look, what jamie is saying and i dont run a big bank but clear to see that we are going to have look when gdp drops 10 depression not a recession. Lets hope that this is somewhat of a vshaped drop and recovery, i am more in camp of a w than a v, earning we have tough times ahead of us. Maria you say w, not a vai. , in other words, another regular down is that what you are expecting . I know that there are expectations of gdp contracting 20 , 30 unemployment one estimate was so much higher in the 20 range as well. So are those numbers realistic to you . Is that what a w is . We see a rally we see a better situation in economy then turns down again . My expectation of a w is i think we reopen the economy here in next 30, 45 days, and start relaxing with social distancing guidelines, and stayathome quarantine, then get back to work send youth back to school this fall but as fall flu reason rolls around if we dont have a vaccine by then i think we are another difficult period late this year i think there is going to be a lot of optimism, hope come into our xie, look i know that we have 70 vaccines understudy for potential wuhan virusvenes if we get to vaccine i think we can make this whole thing vshaped when i listen to experts you heard mall i understanda gates say couple days ago a vaccine is at least 18 months away i would listen to someone like that before someone like me i just read white papers what i see out there, i am hoping we have i am hoping we have a vaccine by the end of december, if that is the case, we are going to have fits and starts as you see, even in singapore, hong kong right now reinfection problems concept china magically didnt report a new at you wuhan virus death the other day was comical to the world continues, to show evidence of mishandling of the situation. Maria that is a good point because china keeps coming outs you with numbers i keep putting a qualifier out there yeah if we believe china the coronavirus taking a toll on the economy there we know that. Import and export prices if he will in march sources told me Chinese Government is seizing and slowing production of personal protective equipment, desperately needed to combat this virus can china be strustsdz after the pandemic ends Lindsey Graham said china needs to be held accountable for what theyve done first virus released by accident or not whatever it was likely by accident, but it is released, now they are cornered the market for protective gear we needed, even though they already produce half of the world capacity in masks pit two billion masks in the on january 24 while downplaying it not telling anybody about it, traveling the world from washington to davos shaking everybodys hands can he they be trusted after pandemic ends. One comment concept china officially reporting no deaths for the first time in wuhan virus china hasnt reported deaths from Tiananmen Square incident i guess a lag in reporting from chinas perspective we all know that secretary xi shut down travel win china from wuhan, on january 23rd, yet he allowed travel from wuhan to the rest of the world until the president of the United States band travel in fact the chinese finance minister spokesperson february 2 said xenophobic close your boards to chinese, think about what they did president xi knowingly about being infected the rest of the world with virus knew it band travel within china let travel from wu hanl he must be held accountable go to next you ask senator graham how do you impose penalties on china we know that they wont stop a to communist party lies cheating and stealing we will never outly out cheat out steele chinese. They are the best in the world at this 37 one thing we can do is use our rule of law and english rule of law, against the chinese, for their malign activists what we have to do you saw Henry Jackson society piece a week ago written, we need to use our rule of law our strength as a democracy against bad actors they clearly broke International Health laws this is not some Conspiracy Theory you can see date at when things were said the date secretary xi and pied ross who said on january 14 there is no evidence of hum humantohuman transportation no pandemic dont stop travel at the same time buying up worlds protective gear in month of january. They lied cheated and they stole from the world, and we need to take them to court. If we take them to court and sue them, for the things theyve done and make them live up, to the lies that theyve told then we use our strength against them so i think once we realize we can use our rule of law against them and english can use english rule of law against them australians, canadians western o democracies can use these rules against them this isnt just a simple contest for power to the chinese this is a true ideologic competition we will win this competition if we use our laws against them. Maria ive got an article from New York Times sitting in front of me it says that 433,000 people Chinese People traveled to the United States, after the covid19 was already known about in china. 433,000 people traveled from china to the United States. After covid was known about in china, so everything you just said even the New York Times reporting i want to read one thing i got hands on portion of the phase one deal, that was done between u. S. And china here is what it says i know everybody has force majeure if manager happens we dont live up to commitments made in event a Natural Disaster or other unforeseeable event outside control of the parties delays a party from timely complying with obligations under this agreement the parties shall consult with each other. So theyve got a line in there, of the phase one deal that says if there is a Natural Disaster unforeseen event may be we dhont to comply with promises made President Trump expecting them to buy 250 billion dollarss commodities from United States you think her to going to keep their commitment. If you look at data chinese released again taking with a grain of salt or data with china however you look at it they said they imported a much larger amount of u. S. Ag remember maria anybody to get chinese to buy more pork, and more soybeans they are desperately 140r9 food Energy Natural resources, so they have to buy these things, so all it is these are fungible they can buy from us or brazil or from australia. So, yeah, they are buying it from us. What they are trying to do what again, what the world has bought we bought narrative that china is their marxist leninest socialism is aviable competitor to western democracy and yet this is complete bs maria they claim to be 15 of the worlds gdp, but less than 9 106 one percent of Global Transactions settle in chinese kursr currencies they are not a real Economic Party they are a bit of a house of cards a big economy they do 15 trillion dollars worth of economy absolutely not if capital accountability shl open a real economy currency would collapse 50 they would have 7 1 2 gdp not 15 it is important to note that u. S. Holds all the cards. Yeah okay, good point i just i still skepticic wanted to take note of the fact they did a manage to get that little qualifier in there for phaseone deal, if an unforeseen event happens we dont have to keep our commitment, we will be watching that always a pleasure to speak with you thanks very much for your insight. Great talking to you. We will see you soon, futures this morning take a look where we stand markets, after import export data out no real move we still have very strong rally dow industrials up 336 points right now nazi deck up 147, s p up 39. Nasdaq up 147. Meanwhile, stopping up to plate philanthropic on full splay my guest family committing 20 Million Dollars to the fight Global Management ceo of apollo Global Management leon black, great to have you this morning thanks so much for calling in today. Great to be here, maria. I hope you and your family, and friends are all doing well, and healthy and safe. Maria yes, we are thank you right back at you i hope you and wife deborah doing well you have and your wife have been incredible flaup he contributions from black family champagne, deborah black onboard cornell medicine you launched the Stem Institute at mount sinai did not stay quite during covid19 crisis tell us how this changed you and the way you allocate capital what you are doing now leon. Okay. I will. Because this is something that is important i think, for everyone. You know. Like the quote, said if i am not for myself who will be also said if only for myself what am i finally said if not now when i think this is poignant for everybody, everybody has to take care of themselves first and foremost, but then we strongly believe they really have to reach out, and help others, especially in extreme situation like this and finally. Maria why you are helping new york City Hospital workers. Right if not now when there is no better time now when you see what is happening, to a new york city epicenter of covid19 disaster that we are all going through, you see the amount of infections and death rates stress on Health Care Workers who are so you are giving 20milliondollar donation leon . Yes. Hello . Yes leon all new york City Hospital workers receive essentially Food Supplies 20 Million Dollar donation from your foundation tell us about it. Okay. So what we are trying to do is to really help all 100,000 or so Health Care Workers neither five boroughs of new york City Hospitals from doctors to nurses, to assistants to orderlies janitors also putting in incredible time and exposing themselves my wife and i deborah, are working with the Fabulous Team we are working with air mark providing bags of food of other essentials and for their families for themselves, to be able to pick up at the hospitals and bring home, and they should be receiving two bags a week. And this should be going on between now, and the end of june. We are providing 20 Million Dollars 10 million up front, another 10 million as a matching fund, so that he hopefully with others giving we will get to 30 million which should provide 300,000 bags at the least answered hopefully on upward scale roughly half a million bags to all these Health Care Workers. As i mentioned, the Team Includes air mark buying he essentials and food putting them in bags this program is called new York City Health care heroes. And then they are being distributed to on the most needy first basis but it should cover everybody. Working with the Mayors Office working with robyn hood, and working with the red cross. Basically to make this happen. And so are everybody who gives even 30 to this 30 with matching program will provide a bag of food and other essentials which which will go to these hospital Health Care Workers. Maria i love this leon this is so great, i love calling it new York City Health care heroes exactly what they are. 30 donation will cover matching component, you are welcoming outside money go ahead. We are i also wanted to do a shoutout because we are already have good momentum on the matching program. My partners, at apollo, many Senior Partners apollo itself many good friends have already given donations of about four Million Dollars, so clearly if we can raise another six Million Dollars we will get to 30 Million Dollar goal which should provide half a million of these bags to all these Health Care Workers. That is absolutely spectacular i love that you know we have been talking about hospital sector so much, because of the pressure that it is under can you tell us what you are seeing what you are hearing, from your contacts whether it be, from deborah own board at cornell or your work at mount sinai are hospitals at a breaking point or not . Because you know ken came on the other day, ken langone to talk about this very subject, and he just felt like there was a lot of speculating that hospitals were on brink they really werent things are moving smoothly i know our heroes hospital workers need that protective equipment so what you are doing is really filling an important need but do you think that the hospitals are getting through this and not at the breaking point . Case there is a lot of there is a lot of speculation, that they cant even take a heart attack victim a stroke victim because they are over revenue with covid19 cases. Is that what you see. Well, you know, i think there are hospitals in certain areas that are getting much harder hit than others. Clearly, you know you hear about what is happening, in queens, in the bronx, brooklyn, that has been harder hit. Than the other two are boroughs. Clearly, some of these like elmhurst has been overrun some areas totally overwhelmed, and other areas are more under control so it is a mix. Umhmm, yeah, leon quick before you go youve seen cycles before when would you like to see the economy open up again in . As soon as possible. I mean i think you know we are we are in a what i look at two act play. Here. And both a about equally important one shorter one probably a lot longer the shorter one has been managed actually pretty well, by the president , by mcconnell, by pelosi, schumer, mnuchin, powell and that is making sure our whole Financial System doesnt collapse, because three weeks ago, i think a lot of people in certainly the markets were afraid that is exactly what was going to happen. I think by injecting so much capital, liquidity into the system, and shoring up i think psychologically that they would do anything to make sure that doesnt happen has been a huge boon. Now having said that, that is only act one, clearly act two goes to your question, which is getting people back to work, generating demand generating revenues that is going to be much slower process so, you know, we are modeling that happening over six months, over 12 months even over 18 months. When we look at how were going to deploy capital at apollo, i think that, you know, our view is first and foremost, make sure our existing Portfolio Companies are shored up in good shape, and then see whether there are areas where capital can be used to help companies and providing their liquidity, which could be good Economic Opportunities for our investors. And as you know our investors are are pension funds, teachers, firemen policemen government workers. One we want to protect them, two we want to try to generate good returns for them through this, but i am not smart enough to know whether it is six months 12 months 18 mince i just hope it is as soon as possible, to getting everybody up. Maria all right. It was a great show today. Jampacked. We will bring you the Saudi Oil Minister later. Sorry, we had technical difficulties there. Have a great day. See you tomorrow. Varney Company Begins right now. Stu, take it away. Stuart good morning, maria. Great show there. Good morning, everyone. All right. The debate is on. The president is forming an opening our country task force. They prefer to call it a council of advisers but thats what it is, a council of advisers. State governors, they formed regional groups looking at exactly the same thing and that is opening up the economy and getting back to work. Now, theres a new tone to the debate. Its upbeat, its positive. The