Transcripts For FBC Mornings With Maria Bartiromo 20240712

Higher by 35 after the s p snapped a fourday winning streak yesterday, the dow, nasdaq and s p 500 still on track for third week on gains this week, boosting the American Economy, the white house working on another round of stimulus reportedly to the tune of 1 trillion. We will talk about it. Meanwhile protestors taking to the streets for a tenth day in a row, mostly Peaceful Demonstrations happening from coast to coast as memorials are held for george floyd, clash of tech titans, elon musk is calling for the breakup of amazon. Meanwhile slack and amazon are joining forces to take on microsoft. Joining me at 8 50 eastern on powerful alliance. Getting make back to work, universal orlando opening gates to public and nba has plan to return july 31st. Mornings with maria begins right now. Global markets this morning with firmer tone, take a look at european indices right now, the cac quarante in paris is up 106, better than 2 and dax index in germany 213 points. European markets closing out the week following yesterdays announcement. In asia overnight green across the board. Best performer as you can see is the hang seng. Nikkei average hitting 3month high in japan with gain of 3 quarters of 1 . Now some some of the top storiet we are watching this morning from los angeles to new york city, massive but mostly peaceful protests across the country honoring the life and legacy of george floyd. More than 32,000 National Guard troops activated in taits. Dc and major cities lift curfew curfews. Family and friends gather to remember at george floyd. People at the Memorial Service and thousands watching from screens outside observing 8 minutes and 46 second of silence. Thats the amount of time floyd struggled to breathe and Minneapolis Police officer kneeled on his neck. What happened to floyd happens every day in this country, its time for us to stand up and say get your knee off our neck. Maria the Minnesota Department of human rights is scheduled to brief the city council today in the state investigation into potential racism within Minneapolis Police department. Meanwhile this, nfl quarterback drew brees. Theres not much that i can say that would make things better right now, but i just want you to see and comments that i made yesterday and hurt many people especially friends, humans, former teammates, loved ones, people that i care and respect. That was never my intention. Maria brees offered a second apology later saying, quote, i will do better and i will be part of the solution. New york city entering phase one of reopening on monday, allows for return of construction, agriculture and retail but it is limit today curbside or instore pickup, the city hopes to enter phase 2 by july, new york city reporting zero deaths for the First Time Since march. Good news there. Meanwhile jcpenney closing 154 stores after filing for bankruptcy last month. Final sales expected to last about 3 months. Jcpenneys is the largest retail filing bankruptcy protection. Stay at home orders have been lifted. Markets this morning are rallying ahead of crucial may jobs report out in about 2 and a half hours after mixed action yesterday. S p 500 pull back from 3month high. The report expect today show ongoing damage from coronavirus dock lunns. Joining the conversation this morning federated senior economic strategist linda, with me this morning fox business Dagen Mcdowell, the Kings College in manhattan professor Fox News Contributor Brian Brendberg is with us and former wall street Journal Editorial Board member and author, coauthor of trumponomics. Maria manner linda, what are you expecting in the jobs report, do you think the markets are expecting we have seen the worst in terms of the impact of the economy . Linda yes, this should be the worst of them and after the report it would be bad but the job losses would be spread out with much heavier in terms of the Small Businesses and thats really the toughest areas. If we have if view that job loses are temporary the markets can keep going and get over this. Maria isnt it interesting that the market keeps going up and we have meltup continuing in rally, almost 20 unemployed. Linda yeah, its because yes, thank you. The people that are unemployed are of the view that it is temporary and the employers of the view as well, so with all of the stimulus that have been put up and the notion that we will see the stimulus get extended and with the Payroll Protection Program to extend the rules for the employers, then its you know, its summer time, itll be very interesting to see 2, 3 weeks from now with all of the protests that have gone on in the country whether we have a resurgency of the virus because if we dont see 3200 in s p would be the next levels to look for. Maria Brian Brendberg . Brian linda, hey, we have been talking for months now about what the shape of the recovery is going to look like and a month ago, two months ago people said theres no way we will get a v, i think many more people are now saying its very possible we could get a sharp bounce. Thats what it looks like. Do you think thats whats fueling the rally right now the expectation that looks more like a v than anything else . Linda yes, i do, i mean, we have seen a lot of people and are able to work remotely, a lot of things gone much more smoothly and we are starting to see the economies opening more and more and people are getting comfortable with the idea that we could at least start to see some sort of a recovery here at least in the more in the retail areas of the marketplace than we had expected before, so the market is really, i think whats going on in the market is a fear of missing out of whats going on and we have seen broadening of the stocks that are participating beyond large Growth Stocks and just so much dry powder on the sidelines and honestly been looking for a pullback for 2 months now. Just throwing in the towel. Maria linda, theres another stimulus package get investors or is that priced in that we will see more relief . Oh no, i think its priced. I think lots and lots of good news is priced in now and, i mean, its an election year, its a good bet. Maria all right, we will leave it there, linda duessel, thank you very much for weighing in. Markets up 300 points, we will take a break but we are just Getting Started this morning, former mcdonalds ceo ed ramsey on rebuilding americas economy, trevor on competing with tesla and. Ohio congressman with the latest on the investigation into the origin of the russia probe with testimonies continuing. The ceo of enterprises ara and as the economy gets back on track and at 8 00 a. M. Hour House Minority whip Steve Scalise on the economy reopening and possibility of more stimulus. Ceo of slack, stewart butterfield, dont miss that. We identify where americas jobs. Facing harsh internal criticism over oped, details coming up. Maria welcome back curving the violence, attorney general william barr issuing stern warning to extremist groups like antifa who he says are infiltrating nationwide protests in an attempt to coopt the movement, watch. We have evidence that antifa and other similar extremist groups as well as actors of a variety of different political persuasions have been involved in instigating and participating in the violent activity and we are also seeing foreign actors playing all sides to exacerbate the violence. Maria joining me right now is the editor at large matt of reason, matt welch, thank you very much for joining us this morning. Good to have you here, your reaction from what you heard from ag barr on who is on the streets. Good morning, everybody, sorry for my skype not working properly. I think what we are hearing from ag barr is talk about antifa and we have yet to see charging documents that are specific to antifa so far. With early in the game, protests, violence, looting, protests in the past week or so and the organizations that are named i think the only one thats really shown up is the bogall people, the rightwing types in las vegas and i presume that we will see indictments handed down in the near future and i think general people are talking a lot about antifa because its easy to fixate your mind on them but its not like a huge large organizations, they are pockets everywhere. Miserable little kids. I look forward looters being arrested but i dont think a large organized group of cells out there that are operating. Maria you dont, okay, dagen. Dagen matt, its Dagen Mcdowell, but i think attorney general barr refer today witchs brew of agitators and inaist groups that are aimed at inay and certainly with the looting that went on here in new york city it might not be a nationwide criminal network, but it did the looting that was happening in many neighborhoods was clearly organized and choreographed and there were people arrested from massachusetts connecticut, pennsylvania, new jersey, iowa, nevada, virginia, maryland, texas and minnesota just to name a few and the feds do have the ability to track the movements of those people and track the money, break up the organizations and throw them in prison for a very long time. So this is really going to be the the burden will be on the feds, not local authorities. I agree with you, and i mean, talk about organization, youve seen the videos of these people. Its amazing. They are rolling up in rollsroyces and have bags of a certain sign and hammer and it was remarkable and shameful frankly of the way that mayor de blasio in new york basically looks the other way for 3 or 4 days on this stuff where we knew they were going on a daily basis. Okay, its here in soho, here in midtown, look, there they are again before we saw Adequate Police response. Its completely organized and new york being in the middle of 3 states famously and having a lot of other states coming in, absolutely appropriate. I think where i would disagree with ag barr, with President Trump specifically said thinking about naming antifa a domestic terrorism organization. He doesnt really have the power to do that and that would get Civil Liberties concerns that would raise flags with me, but they dont need to. The federal government is good at tracking people across state lines who have organized looting rings and thats what this is. Those people have nothing to do with protesting police violence, they see an opportunity, again, i look forward for them being broken, arrested, jailed. Maria how about this New York Timesle New York Times issuing a mia culpa. We have examined the piece leading to publication and lead clear that rush editorial process led publication of our oped that did not meet standards. The paper will limit opeds published they say. Tom cotton is responding, he says that the New York Times is being run by a mob of children. What do you think about this . [laughter] this is the first time that tom cotton said something that made me laugh. I think what we are seeing here not even slow motion, but transformation of elite liberal media institutions. Theyre abandoning liberalism by which they are abandoning the notion that there should be thorough going public square, a place where there can be vigorous debate between people who you might disagree with to present their views, response by the New York Times and a ton of their journalists i believe to be hysterical. The argument was basically that tom cotton and this is a direct quote, the publishing of the oped, the guy who can get on fox cable, any network, the guy who has the president s phone number but somehow the publication of one of 100 senators point of view which is not out of bounds of public discourse, should we use act to put looting in the city. If we publish clear and present threat to the lives of journalism, journalists. I think thats ridiculous and shows they dont want to have conversations from certain people that they have deemed to be deplorable and i think thats just a shame. Maria unbelievable. Forgive us if we dont believe them since its been 3 years of misinformation over the russia scandal, matt, great to have you this morning, thanks very much for weighing in, matt welch from reason coming up america reopening up again, how theme parks are adapting to the new normal, thats coming up next. Stay with us. Es still have hr stuck between employees and their data. Entering data. Changing data. More and more sensitive, personal data. And it doesnt just drag hr down. It drags the entire business down with inefficiency, errors and waste. Its ridiculous. So ridiculous. With paycom, employees enter and manage their own data in a single, easy to use software. Visit paycom. Com, and schedule your demo today. Now every bath fitter bathbath fis installed quickly, safely, and beautifully, with a lifetime warranty. Go from old to new. From worn to wow. The beautiful bath youve always wanted, done right, installed by one expert technician, all in one day. Weve been creating moments like these for 35 years, and were here to help you get started. Book your free virtual or inhome Design Consultation today. Yeah. This moving thing never gets any easier. Well, xfinity makes moving super easy. I can transfer my internet and tv service in about a minute. Wow, that is easy. Almost as easy as having those guys help you move. We are those guys. Thats you . The truck adds 10 pounds. In the arms. Okay. Transfer your Service Online in a few easy steps. Now thats simple, easy, awesome. Transfer your service in minutes, making moving with xfinity a breeze. Visit xfinity. Com moving today. Maria welcome back, reopening america once again, universal orlando opening parks with social distancing in place and face masks required, disney world expected to follow when reopening on july 11, the las vegas trip is welcoming guests at homes, casinos, rather, nba also announcing plans to get back on the court. League approving a plan for a 22 team format playing a series of games at disneys Sports Complex in florida, thats july 31st, steve moore, lets talk about reopening, how is it going . A lot of important ones to watch. Steve these are huge developments, maria, the leisure and Hospitality Industry was the biggest job loser of all during the pandemic where 8 to 10 million jobs were lost in that industry, so the fact that disney is starting to reopen is a huge new development. Itll be fascinating to see over the coming weeks whether or not people will actually go to disney or whether people are still afraid to go to things like amusement parks but the other big part of the story that you mentioned is the resumption of sports and the nba opening up games in disney, you know, you saw what happened when when a week or two ago where you had Phil Nicholson and tiger woods play golf, huge ratings for that, maria, people are so hungry to watch sports and i think nba is doing the right thing, itll be great indicater whether femora ready and willing to get out and go to public events. Maria yeah, but today we are focusing on where are the jobs and what are the next jobs, so i want to get your take on how industry will look different because i think you mentioned the hotel industry, the restaurants, these are the Services Industry that is have gotten cleaned and Certain Industries that will see structural change and you wont see the same numbers of populations going into those places, you will see lower cash flow and need for manufacturing and thats what we are zeroing in on the new jobs for tomorrow. Do you think we will see structural change when you look at casinos, when you look at hotels and the Leisure Business . I do and, look, i think theres been a lot of irrational exuberance and i have to say, i dont get it, im not a big i would love to see the vshape recovery but i think people are underestimating how much damage has been done to infrastructure. I feel like a lot of Shopping Centers may never come back. There was Severe Damage done to these Retail Stores that were already in so much financial trouble to begin with. Maria all right, stay with us, everybody, on this, because we are identifying the next jobs coming up in the program, we will take a break, when we get back, america gets back to work, businesses adapting and battling potential spikes in coronavirus cases, we will take a look when we come right back, stay with us. Maria welcome back, good friday, morning, thank you very much for joining us, im maria bartiromo, 6 30 a. M. On the east coast. Today at 8 30 a. M. We will get the mays job report and Unemployment Rate to jump 18. 9 . Take a look at 300point move in Dow Jones Industrial average, futures showing gain 262 points on the dow, nasdaq up 21. Pretty good strength this after the s p 500 snapped fourday winning street yesterday in fact, the dow on pace for a third weekly gain of better than 3 yesterday the dow was up but the nasdaq and s p under selling pressure. Global markets this morning are higher, european indices closing out the week with a strong rally, take a look. This follows yesterday announcements of additional stimulus from the European Central bank, the ftse 100100 is up 58 and cac quarante in paris is 89 and dax in germany up 177. In asia across the board. Optimism rising for economic rebound. In japan nikkei average hitting 3month high with gain of 3 quarters of 1 . Cheryl casone with those details. Cheryl. Cheryl emotional moment and homecoming for american hero. Had been detained in iran for nearly 2 years. Im happy to be back. Ive been semifree and i will go extend my thanks to President Trump and making America Great again. Cheryl so great to have michael home. Thank you to iran, dont wait until after the u. S. Election to make the big deal. Im going to win, youll make a better deal now. Part of the deal to free white, the u. S. Released iranian iranianamerican doctor, white says he slept for a few hours on the transalantic flight after enjoying a steak dinner, he wants to go to disney world. One of the defendants in the shooting death of Ahmaud Arbery used racial slur, accusation during probable cause hearing, the judge has ruled theres enough evidence against michael father and friend to go to trial. Kanye west is making a 2 milliondollar donation to the families of george floyd, Ahmaud Arbery and briana taylor. Airline stocks had big stocks yesterday after announcing plans to extend travel season. The carrier will fly 55 of domestic schedule compared to july of last year and that schedule will fly this july, united will resume service on 130 nonstop routes and theyll flight 30 of their schedule as compared to july of last year, taking a look at the names now, shares of American Airlines and united in market, america jumped 41 , biggest one day percentage since the company was formed back in 2013. Lets look look at possible foods, selling plants directly to consumer. Beef prices are on the rise after large meat producers were forced to temporarily shut down due to coronavirus pandemic. Those are your headlines from the news room, maria, back over to you. Maria all right, cheryl, thank you, bringing back americas economy, assistant to the president navarro highlighting the Lessons Learned from the coronavirus, the space launch and the protests, it is titled lets make america too prosperous and in this he writes this to be properrous and cure america must bring manufacturing and supply chains home particularly from countries that mean to do us harm. Thats how we become too prosperous to hate, joining me right now former mcdonalds usa ceo former daves barbecue ceo, ed ramsey, thank you very much for being here. Some of the leisure industries, restaurants, hotels will see structural change and firing up basis what pete navarro was writing about this morning and tell me about the jobs of the future and how the Restaurant Business might change . Yeah, of a student of Hospitality Industry and being out and talking to friends that own restaurants, operate restaurants and are involved in franchising restaurants we have seen pinned up demand in short term and here in florida people were celebrating the fact that they can go out and have something to eat and have a drink, social distancing is the way of the day. I think thats good but things are going to change. Small retailers in the malls and strip malls are in big, big trouble because Companies Like am done have taken their business away from them. I think hospitality will be fine. People need relief from all the horror they see on television, the looting and the activism and discord in government is really taking a toll psychologically and i think getting out and about busy reopening, i think Governor Desantis has done a fabulous job down here managing the covid19 in florida. I think we are starting to hear bam so some resemblance of normal. Jobs are going to be different. You will see a different kind of employment structure. Drivethrus will become more important than ever before because people psychologically feel safer doing that. Theres a lot of change coming and i hope its for the better. Maria well, let me ask you, you just mentioned amazon because theres a fight going on this morning actually between amazon and and elon musk, founder of tesla and elon musk is blasting amazon and its founder jeff bezos pretty much for not accepting a certain book, saying the book about the coronavirus pandemic is a crash that highlights the power that some Big Tech Companies wheeled over speech. Do you think amazon should break up . Absolutely not and i find it ironic that two billionaires are fighting over a book. Its just nonsense. The reality of it is jeff bezos built a company, if you want to compete with him, do what he did, be competitive. Thats what the United States is all about. Its a Free Enterprise system. I dont favor at all busting up amazon, but local retailers have got to get smarter if theyre going to compete. Its pure and simple, Free Enterprise system and we have a lot of opportunity. Maria yeah. Lets use that opportunity. Maria well the reason is because musk was responding from a tweet from alex, hes the author, the kindle direct publishing had rejected his submission for a book and the book was unreported truths about covid19 and lockdowns and questions whether the virus is as deadly as the Public Health says and musk says, well, he should not be rejecting a book, but thats a whole other story. Let me ask you about the job creation situation and what Peter Navarro writes about. How are people going get trained for those jobs. Do you think theres enough infrastructure in place to ensure that our jobs of tomorrow, we understand what they entail and we have the skill sets to get those jobs. Maria i absolutely do. I think that industry always adapts around large corporations in my life and senior Training Programs, those Training Programs evolve every day to meet the needs of the new employee. Culturally we are different every generation and the means of the way you train is different, working from home, these things will evolve and reach peak of efficiency and the new thing will come along. I personally have trouble with not working in an office because i like to look people in the eye, see what their leadership skills are like and understand what kind of questions they are asking because body language is probably 80 of the language that takes place in a business environment, so i want to be close to people. Younger generations of people not so much. Maria so that may dictate how they work and what jobs they take on, Brian Brendberg, jump in here . Brian brendberg here. We want to get a manufacturing resurgence in the United States, this has to be the best place in the world to do manufacturing, some people are talking about a blue wave in november, if we get that, does that jeopardize our ability to be able to bring manufacturers back home. Are they going to be afraid to operate in a progressive dominated country where youre talking about policies like the Green New Deal. I think just the opposite is true. I grew up in a very bluecollar community, a bluecollar town, in fact, im going back in october to give a speech, we need welders, we need cement layers, we need people that work with their hands, highly skilled. What we need to do is wise up and start valuing what a great contribution the people that work with their hands makes, bluecollar workers are essential, you cant have work from home without somebody Building Computers and all the rest of the stuff thats needed to do that. I really look forward to a resurgence of bluecollar workers. Maria which is why Peter Navarro writes in the oped this morning, the most important event was not the burning and looting of cities, it was saturdays law firm of u. S. Space mission in almost a decade and writes as an example of some of the hightech jobs that could be available in the future and what we should be striving for in terms of firing up the Manufacturing Base. That Manufacturing Base could be anything from, you know, quantum quarter and ai to technology and health care, ed. Absolutely, i think we need to revisit health care and Senior Citizen health care, we did this terrible job with covid19 when it came to nursing homes, Senior Living centers and things of that nature. We dont have to function that way. Its almost third world in some ways. I think we can use the intelligence we have. We need to find new healthcare worker, Training Programs, we need to encourage people to get into health care and we need to stop putting such a huge burden on our medical facility. My god, the nurses and doctors working hour after hour after hour without all of the equipment they need. Lets bring all that back to the u. S. And quickly not outshowersing. Why are we letting china build our medicine, its crazy. Maria 70 of the active ingredients in in prescription drugs made in china. Not a good place to be reliant upon in the middle of the pandemic. Ed, great to see you. Thank you for your insights, ed rensi joining us there. Quick break, taking on tesla, hydrogen maker going public yesterday, the founder with on next debut of the jobs of the future, back in a moment. Maria welcome back, the future of trucking, nikola, hydrogen semitrucks hit the road yesterday, first commercial yesterday the tray in europe next year, joining me founder and executive founder, trevor, great to have you this morning, thank you very much for joining us. Congratulations on the public debut yesterday. That has to be a great part of your journey, how does it feel now to be running a Public Company . Oh, my gosh, its crazy. My whole life was leading up to, you know, that moment, we listed on the nasdaq yesterday and today is really, you know, we closed the nasdaq bell yesterday so today is an exciting day and we are listed as intel a and i love the previous segment because its all about manufacturing and Artificial Intelligence along with engineering. Its just awesome. I love it. Maria yeah, lets talk about, ai and the future of jobs, we want to know where the jobs will be in the future. During my documentary on Artificial Intelligence last year, discussed how advanced technology innovates everything from fast food to trucking to tracking wild fires, ford ceo jim and peter thiel talked to me about how new vehicles will affect the job market. Watch this. The vehicle will replace some kind of job that drivers are required to do to do and new opportunities because of expansive effect on the economy. Maria 40 of jobs could go away in the next decade. Well, i will believe it when i see it, i guess, because its not yet showing up in any of the numbers. Most jobs are not competitor. Maria what about that trevor, where would the jobs of the future be . Nikola is the leader when it comes to zero emission similar truck. We have a factory in europe and First Company in the world dedicate today zero emissions semitrucks, that was pretty cool. Our trucks come in full production next year and these trucks are built for complete autonomy and compatibility and people are like, hey, is this going to replace all of the drivers and what a lot of people dont know on the freeway it would replace the drivers on the freeways but what you dont know you need those droves into the cityies to the hubs and to the Distribution Centers and rather than taking families away from the road, being able to stay home with their families and making trips into the city with big semitruck rather than just going across country. Ai definitely changes things and no one is driving the trucks on the freeways. Maria yeah, one thing that i learned during my reporting for the ai special is that trucking is one of the most dangers drugs. Youre there for a 3week period, nonstop, you know, youre pulling at truck stops, eating badly, you know, sleeping when you have a moment to do so for now and then you get back on the road. How do you think the shift toward more advanced technology is going to affect trucking in general, you say, yeah, youre still going to need certain jobs, but do you need to have everybody driverless in order to have one driverless truck. In order, can you have some driverless trucks on the road, on the freeway, without everybody being driverless, thats what im not understanding, dont you need the infrastructure to complement driverless trucking . Yeah, itll just take a little bit of time. The way our Network Works and how america is going to go. The hubs in major cities will be autonomous. You still have autonomous. Drivers, like you said, theyll be able to stay home with their family, eat healthy, go to kids yes recitals and nikola is at the front of that. Maria Trevor Milton joining us from nikola. Thanks so much, appreciate it it. Maria stay with us. Maria welcome back, earning extra cash, the coronavirus lockdown sparking layoffs and furloughs across the country, some americans are turning to side gig for quick money, instacart on hiring spree. 250,000 people signing up to become shoppers in month of april. Dagen mcdowell, what would be your topside gigs today and unfortunately with 40 Million People out of out of work right now some people side gigs might actually become their main gig right now . Dagen right, you can walk at any grocery store, any whole foods here in new york city, one example, and see kind of the broad range of individuals who are in the stores collecting orders for online shoppers. They are across every spectrum, age, race, you name them. The distressing thing, many people are doing this just out of desperation here. Today we will get the jobs report for last month obviously. In april 28 who is a good indicator. People want more hours and cant get them. One out of four americans in that category. The number to go higher and again really distressing. Maria yeah, i mean, thats why people are talking on second jobs, side hustles or side gigs, take a look at some of the best side jobs to consider, this according to penny hoarder, brian, Companies Like uber, lyft, grubhub for people to accept jobs on the fly and work a flexible schedule, whats your take on this, a lot of people have been doing that for a while even before the covid situation . Yeah, maria, a lot of it isnt always that people just need the extra money. In some cases its people want to see if they can do something for a living, we got a guy at our place just the other day to do handy man work for us and he was fantastic and hes so difficult to book because hes building a great business but until you have the opportunity to use a task rabbit service, he didnt even know that he could do that so i love the fact that you can discover the next thing through the economy businesses and we have to do in an economy thats changing new ways to find things to do. Maria yeah, its true, brian, we will take a break, when we come back jobs in america, coverage at 8 00 a. M. Hour. Dont miss that, stay with us. Big hour coming up at 7 00. As well as remote purchasing. For a little help, on and off the road. Now when you buy or lease a new lincoln, well make up to 3 payments on your behalf. Now is the time for a new bath from bath fitter. Every bath fitter bath is installed quickly, safely, and beautifully, with a lifetime warranty. Go from old to new. From worn to wow. The beautiful bath youve always wanted, done right, installed by one expert technician, all in one day. Weve been creating moments like these for 35 years, and were here to help you get started. Book your free virtual or inhome Design Consultation today. Apps except work. Rywhere. Why is that . 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 friday morning, everybody. Thanks so much for joining us. Im maria bartiromo. It is jobs day, friday, june 5th. Your top stories right now, 7 0. The Economic Impact of the coronavirus today. Economists are expecting a loss of jobs to the tune of 8 million jobs in the month of may. The Unemployment Rate is expected to jump to 19. 8 . Many are hoping the worst is behind us as businesses have begun to reopen. Our special coverage of jobs in america begins this morning at 8 00 a. M. Eastern, join us as we identify where the jobs are today. Ahead of the numbers futures pointing to a rally at the start of trading, 300 point gain out of the gate, dow industrials up 293, s p up 22, nasdaq higher by 30 points, after the s p 500 snapped a fourday winning streak yesterday. The dow, nasdaq and s p 500 are on track for a third week of gains, even though yesterday we had losses at the close. Boosting the American Economy, the white houseworking on another round of stimulus reportedly to the tune of 1 trillion, the relief packages keep on coming. Protesters taking to the streets for a tenth day in a row last night, mostly Peaceful Demonstrations happening from coast to coast as memorials are held for george floyd. Bad link the coronavirus, battling the coronavirus, as astrazeneca may be manufacturing a potential vaccine, expecting to supply 2 billion dough us ins. Universal orlando opening their gates to the public and the nba has a gem game plan to return july 31st with disney world playing host. Mornings with maria is live right now. Global markets are higher, closing out the week with a firmer tone. The cac is up 85, and the dax index in germany up 177. This on top of yesterdays announcement of additional stimulus coming from the European Central bank, 670 billion. In asia overnight it was green across the board, optimism is rising for an economic rebound there as well with the major indices up about 1 on average, hang seng up 1 and two thirds percent. In japan the nikkei average hit a three andahalf month high. Oil prices this morning, take a look. Oil has been surging after opec and its allies agree to extend record production cuts through july. The price of oil now up another 2 and a third percent at 38. 29 a barrel. Joining the conversation this morning, Dagen Mcdowell, Brian Brenberg and Stephen Moore. Good to see everybody this morning. From los angeles to new york city, massive but mostly peaceful protests across the country. Honoring the life of george floyd. More than 32,000 National Guard troops have been activated in 32 states. Protesters in the Nations Capital braving bad weather as d. C. And other major cities lift curfews. More than 10,000 people have been arrested nationwide since protesting began. And emotions are running high in minneapolis as family and friends gathered to remember george floyd. People at the Memorial Service and thousands watching outside observed 8 minutes, 46 seconds of silence, that is the amount of time floyd struggled to breathe as a Minneapolis Police officer kneeled on his neck. What happened to floyd happens every day in this country, its time for us to stand up in georges name and say get your knee off our neck. Maria the Minnesota Department of human rights is scheduled to brief the city counsel still today on the state investigation into potential racism within the Minneapolis Police department. Two buffalo Police Officers have been suspended without pay pending an investigation after a video shows the officers push a 75yearold man who fell to the ground and started bleeding during a protest yesterday. Police initially said the man tripped and fell, not mentioning he had been pushed. The unidentified man is said to be in stable but serious condition at a local hospital. Shares of the gap are tumbling in the premarket this morning after the company lost nearly 1 billion in the latest quarter. Stock is down better than 2 right now. Gap one of the many retailers forced to close its stores due to the covid19 pandemic. Company is adding 55 of its companyoperated stores in north america have reopened and online sales they say are soaring at the gap. Take a look at markets this morning, the meltup continues, rallying ahead of the critical may jobs report this morning. Dow industrials up 310 of points after a mixed action yesterday. The s p 500 actually yesterday pulling back from threemonth highs. The expectations for todays may jobs report a decline of 8 million jobs. The Unemployment Rate is expected to top 19 . The report is expected to show the ongoing damage from coronavirus lockdowns and joining me right now to talk about investing in all of this is bank of America Investment Solutions group vice chairman, keith banks. Keith, always a pleasure to see you. Thank you so much for joining me. Great to be here, maria. Thank you. Maria so keith, i want to ask you about your i know you said you have seven particular avenues that indicate we are in the early stages of the mention market advance. I want you to go through those seven for us. First, what do you make of the meltup. What is going on with this market that keeps on going up even in the face of rough and tough economic data. I think what the market has done, and correctly so, its looking beyond the abyss and looking out to the other side. We believe we have left the economic abyss, we are on the road to sustained recovery. As people think about 2021 and beyond and look at valuation metrics on that basis, i think theres a lot of money thats out there, theres a lot of liquidity and that liquidity is moving into the u. S. Equity markets. Maria so lets go through those seven different key avenues for Asset Allocation now, keith. Take us through them and how do you want to allocate capital. Well, right now on the allocation front, maria, we have been and continue to be overweight equities, certainly relative to fixed income. We like the u. S. , we like large cap more than small cap. We want to stay for now with value and a mix of growth and value with a focus on really quality where we can see sustained yield and growing dividends. But the seven that you refer to is kind of a mixture of a number of things. Number one, its the recognition that theres just tremendous liquidity and tremendous stimulus. Weve got in the u. S. 50 in the gdp in form of stimulus, globally its 30 . Whats really interesting to us is when you look at the sentiment right now, despite the tremendous move weve seen in the markets, sentiment is that the lows if you look at the bull, bear indicator at b of a Global Research its at zero. It can get as high as 10. Zero is maximum bearish. We have tremendous levels of cash, whether its private client, whether its money market funds. Money market funds, theres 5 trillion in cash right now. Maria wow, thats big. Well, its also you look at that, its the size of the entire market capitalization of european equities which gives us some sense of the realities of that. But if you look at all of the factors that line up, the sentiment, the cash flows, valuation, which we think on a relative to cash flow, relative to bonds looks very attractive. We think we have seen the weve seen the lows in the market and we think that were going to were in the midst of building of the Building Blocks needed to continue to move higher in the markets. We think we actually will. Maria wow, okay. So you go through market internals, the consumer, housing, you also talk about investor positioning and that mountain of cash and then a lack of yield and growth, keith. In terms of the lack of yield and growth, look, weve got record low interest rates. Does that mean there are very few alternatives, youre not making any yields on fixed income. You might as well go to companies that are actually paying a dividend. Thats right, maria. If you look, i mean, globally investors need growth, they need yield and theres just not much out there, certainly not in the fixed income markets which again points you back to the equity markets. And a very important point about the consumer, this is one of the underpinnings that were seeing, we look at the bank of america credit card data and whats interesting right now is the last seven days ending may 29th, the year over year in aggregate credit card spending was only down about 9 . Weve already recouped about 60 of the losses, the spending losses that we have seen since covid19. And whats interesting also, when you look at states that have been opened for a while, the year over year spending, maria, is actually flat and even states like new york, new jersey, massachusetts that are earlier on in the opening process, were still only seeing down about medicine gel digits d spas Single Digits to high Single Digits. Consumer is starting to come back. Housing is starting to come back. Thats forming a good underpinning for continued reacceleration and continued movement away from this economic morass that weve been in. Maria i love that you think weve seen the low lows. Youve got access to all that data, spending data, consumer data on credit cards. So you can actually see the depth in terms of the spending and where is the consumer. Great to see you this morning, thank you, sir. We will keep watching. Thank you very much. Maria keith banks joining us there, bank of america. Coming up this morning, ohio congressman Brad Winstrop is with me with the latest on the russia probe and delay in subpoenas. Our hope manian on real estate. And dont miss Steve Scalise on the economy reopening and the possibility of more stimulus and our special coverage of the may employment report beginning at 8 00 a. M. Eastern, dont miss it as we identify where the jobs are today in this environment. Well, a delay in investigating the investigators, a critical decision as lawmakers look into corruption at the top of the fbi. Thats next. Stay with us. Maria welcome back. Investigating the origins of the russia probe, Senate Judiciary Committee Chairman Lindsey Graham announced he is postponing a vote that would approve subpoena as part of the russia probe investigation. Graham says he hopes the delay gives senators enough time to fully debate the issues. Joining us right now is ohio congressman, house ways and Means Committee member Brad Winstrop. Congressman, thank you so much for joining us. What about this delay . Why are they doing a delay at this point, three years into it . Dont you feel like you know the issues . I feel like i know the issues and i feel like you know the issues, maria, because youve been covering them for the last few years. And its time that we move on and of course us on the house right now, were subject to adam schiff and his rules and were not going to be looking at these things unfortunately. So were relying on the senate. We hope the senate will proceed with this. The delay i think hes trying to apiece some democrats in some way and make it look like hes very open and listening to everybody but weve got to move on and it was a clear indication the other day with Rod Rosenstein in there and he is talking about well, if i had known this, if i had known that, i would have done things differently. The fact of the matter is, you should have known this, you should have known that. When Christopher Wray became the head of the fbi, he had a chance to clear things up. He hasnt done anything. It wasnt until last week that he said i guess we need to investigate the investigators. Its pretty clear. Maria, if democrats are serious about Civil Liberties for americans, they should be all over this. Especially on the unmasking component of things that took place. So are they serious about that or are they really just trying to cover up where fellow democrats in this process and also in this process when it comes to unmasking i would like to see what happened with the previous administrations. We started to look at some of those numbers. Clearly there was an abuse and maybe some of these things arent illegal but they certainly are unethical and need to be illegal. Maria there were some actual felony thats we know of, leaking classified information is a 10year felony according to trey gowdy and of course we know that changing documents which is what Kevin Klinesmith did in terms of talking about whether or not carter page was the source of the government, thats also illegal. We know of some illegalities already. We know if President Trump loses in november were not going to hear another word of any of this. Do you think were going to get durhams report out before the election . I think its imperative that we do. When i was referring to some things that might not be illegal its the unmasking and other things. We have made criminal referrals as you know from the House Intelligence Committee on the republican side. We do need durhams report to come out and we need the senate to drive on with this. We have an oversight role that needs to be played out. Youve seen for the last three years on the house side adam schiff has no interest in discovering the truth of what took place. He fought us on trying to find out who paid for the dossier. Hes not going to go down this lane so we really thank goodness have the senate and the senate needs to do this in a fair and upright way and i think that they are doing it. Im disappointed theres a delay on the subpoenas. Why not bring in people and ask them questions . Why should there be a delay on that . Maria right. So youre saying that adam schiff was trying to cover up the fact that Hillary Clinton and the democrats paid for the dossier . Well, when we were trying to go through the process of seeking records to find out who paid for the dossier, he was against that. Thats what im saying in that regard. So maria for years he said collusion, he said collusion was in plain sight, congressman. Now, i know you guys are not under oath when youre there in the hearing rooms and everybody else who youre interviewing, the witnesses, they are under oath of. In other words, adam schiff can say whatever he wants. He can go on tv and say its in plain sight because hes not under oath. It doesnt matter. He can lie to us as much as he wants, we cant lie to you because were under oath but you guys are not, is that right . Thats exactly right. I find it interesting, if you go back to the interviews, maria, that have been released, the transcripts of the interviews that were taking place during the impeachment process during the trump, russia collusion process, if you look at the people that said the people from the fbi, doj, said they had no evidence of collusion with russia, yet some of them then went out, got paid to be on cnn, and start saying just the opposite. One place theyre under oath, they say they have no evidence. They go to another place and say just the opposite. Maria thats right. Back in september of 2018 John Ratcliffe told us that, that i interviewed everybody and theres no russia collusion but it sort of fell on deaf ears throughout the country with the media driving the bus on all of this. Congressman, we know youve been working on this. Thank you, sir. Thank you for working on it too. Appreciate it. Maria thank you so much. Congressman Brad Winstrop joining us there. Coming up, state of retail, earnings and store closings seems to be the headlines every day. How companies are and are not surviving in a covid19 world, bifurcated industry 24 that we l zero in on next. Stay with us. Maria welcome back. Retail route, shares of gap hurting this morning after weaker than expected earnings, sales fell by 43 in the first quarter. Gap says its still on track to reopen most of its stores this month. A stark contrast, jc penney announcing theyre closing 154 stores for good as part of the bankruptcy plan. Then youve got amazon which is soaring. A real bifurcation in retail, Dagen Mcdowell, break it down for us. Dagen one interesting story is that simon properties, the countrys largest mall owners, had to file a lawsuit against the gap over unpaid rent and other charges. Simon says its owed 66 million. This raises the Biggest Issue for retailers and restaurants. In this country, you need to see a broad repricing of rent by commercial real estate owners and operators in order for restaurants to and retailers to even continue to exist. Youre going to force a restaurant to space people out, then theyre not going to be the reason restaurants are so crowded in major cities is because the rents are too high. And youve seen, it is a wasteland already before the pandemic of real estate in the large metropolitan areas because the rent have remained elevated. This is on the owners of and operators of real estate and the banks and the lenders. I think thats ultimately what youre going to see. Maria youre also going to see a whole retrofitting plan in malls. You may very well need reDistribution Centers instead of brick and mortar there. Amazon needing redistribution, fed ex, et cetera. I think once we get out of here youre going to see the mall space look quite different. I agree with that i want to underscore something dagen said. She made a great point. The future of retail depends in large part on how city and state governments treat Retail Businesses and the cost of doing business in so many cities was already high with property taxes, high rent, now youve got the Security Risk in some of our biggest cities in america. It feels like brick and mortar retailers were already under the gun but now theyre really on a tilted playing field. Amazon has such an advantage here because it doesnt have to deal with City Government as much as traditional retailers. Weve got to fix that or we are going to see a massive, massive restructuring in commercial real estate. Thats going to have huge you implications for everybody. Cities need to get this right. Dagen thats why i love that elon musk has called out jeff bezos on initially amazon not publishing alex baronson the journalist, used to write for the wall street journal, i mean, the New York Times, a former colleague of mine, amazon wouldnt publish his book, trying to expose some truths about covid19, the coronavirus, things that have been overlooked by much of the mainstream media. Amazon was like, well, being shady and not publishing the book and elon musk called amazon out and said break up the company. But again, thank god for elon musk. Theres that voice out there because amazon has gotten bigger and more powerful and all of these politicians who shut down these cities have handed that power to jeff bezos. And its really disgusting because what does this look like on the other side of that. Do have you to order toilet paper three weeks in advance from amazon and hope and pray that it shows up. I think theres a major backlash against amazon brewing. Maria and what was the excuse for not publishing the book . You know, is this more tamping down on free speech because they dont want that book dagen it was an error. It was removed in error and is being reinstated. Oh, really . Whoops. Is there really a whoops in the world of amazon . I beg to differ. Maria good point. Quick break and then when we come back were looking at real estate, is it bouncing back, the new Housing Trends amid the protests and the pandemic, details, next and we speak with the ceo of hopemainian. There are times when our need to connect really matters. 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 welcome back. Good friday morning, everybody. Thanks so much for joining us. Im maria bartiromo. It is jobs day, friday, june 5t fifth. Your top stories, 7 31 on the east coast. In an hour we will get the may jobs report, economists are expecting a decline of 8 million jobs in the month of may with the Unemployment Rate up to 19. 8 . Ahead of the numbers, markets are higher, futures indicating a rally at the start of trading to the tune of 300 points. The high of the morning right now, the dow futures up 336, nasdaq futures up 38, s p 500 up 26, after the s p yesterday snapped a fourday winning video. Streak. The nasdaq is 2 away from a record high close as you see yesterday, it wases a mixed performance on the day. Global markets taking a cue from what happened the day before on the stimulus and were looking at a rally there. Take a look. Fq100 up 80, cac up 98, dax up 212. Investors are responding to yesterdays announcement of additional stimulus from the European Central bank which said they would expand the stimulus another 670 billion. Green across the board in asia as optimism rises for an economic rebound as well, best performer was in hong kong, hang seng up 1 and twothirds percent. In japan, the nikkei average hit a knee andahalf month high. Oil prices are surging this morning after opec and its allies agreed to extend record production cuts through the month of july. The price of oil up two and a quarter percent at 38, 25 a barrel. Meanwhile, this, Navy Veteran Michael White is back on american soil this morning from iran. Cheryl casone with the details. Cheryl. Cheryl that is right, maria. Good morning again. Quite an emotional home coming for him. The 48yearold white had been detained in iran for nearly two years. Im happy to be back. Ive been semifree since they let in go on furlough but i want to extend my personal thanks to President Trump for his efforts, both diplomatically and otherwise, making America Great again. Cheryl President Trump tweeted in spatter here, so great to have michael home, thank you to iran, dont wait until after the u. S. Election to make the big deal, im going to win. Youll make a better deal now. Talking to iran. As part of that deal to free white, the u. S. Released an iranian american doctor who was serving time for violating american sanctions against iran. Michael white says he slept for a few hours on the trans a tranc flight after enjoying a steak dinner and he wants to go to disney world. First, this. The gulf coast on high alert for cristobal, the storm system that has been slamming mexico and other parts of Central America with heavy rain and flooding especially over the last 48 hours. The storm weakened to a tropical depression. Forecasters are predicting its going to return to a Tropical Storm before it makes landfall in the u. S. This weekend. Well see if it hits hurricane status. Flood watches in effect in parts of florida, mississippi and louisiana where the governor declared a state of emergency going into the weekend. Well, Bernie Madoff will remain in prison after a federal judge denied his request for early relief. Madoffs attorneys say their client has terminal kidney failure and they asked for come passionate relief. He is serving a 150 year sentence for stealing billions of dollars from his victims over 20 years, including celebrities, wealthy investor and the owners of the new york mets. Well, today the nba Players Union is expected to vote on a proposal to start the season july 31st. 22 teams would play in disney world, eight games each before the playoffs. The nba was the first u. S. Sports league to suspend play in midmarch. Back to this, hog warts castle about to be back open of. Universal orlando reopening to the general public today, nearly three months after closing all three parks, that was universal studios, islands of adventure and volcano bay. Theyre going to be opening. New Safety Measures include virtual lines, mandatory face coverings and temperature checks for all guests and all employees. And those are your headlines from the newsroom. Back to you. Maria all right. Cheryl, thank you. Meanwhile, the housing sector looks to be heating up again. Home buyers returning to the market after a coronavirus hiatus. Record low Mortgage Rates welcoming them back. Mortgage applications climbing for seven weeks. Joining me now is the president and ceo of hope manian ceo. Thank you very much for joining us this morning. Happy to be here. Maria what are you seeing out there right now in terms of demand . Its really very interesting. Early in the pandemic, in the beginning of march, things were normal, nothing really changed. I was a little surprised. And then by midmarch through midapril it just fell off a cliff, fell, went into hig hiat. Over the last four weeks its been incredibly strong and resilient, better than it was before the pandemic. Maria and do you see that on all levels or is that the high end . The low end . What kind of demand are you seeing in which markets . Do you see people leaving the big cities for the suburbs . Thats also a question i want to ask you, begin what were seeing happening in cities today. Sure. Well, first, overall its been a group where we saw slower demand initially was the over 55 communities and you can kind of understand that. Theyre a bit more atrisk given the age, they stayed at home. That segment in the last two weeks has picked up. Geographically its been widely disbursed. A little slower perhaps in chicago that had some greater issues, a little stronger in the d. C. Market where perhaps theyre more secure about their jobs. But overall, its been widespread across all price points. Its been remarkably strong right now. Maria wow. And i guess that has to do with record low rates which i want to get to. Let me bring Brian Brenberg in. Go ahead, brian. I had just a number of friends leave new york city during this pandemic, renting houses out in the suburbs, beyond, and they liked it. They liked being out of the city. I see them taking their families with them, working remotely. To me, this signals a huge shift in city population and who is going to flock there and who is going to leave. Thats got to be driving what were seeing in the Mortgage Market right now. Yeah, there are a lot of interesting things. Obviously, very low rates make it very tempting to move and buy a new home. That helps. After three months of sheltering, people are really focused on their environment and they really are focused on their nest and theyre thinking with thethese rates, maybe this is a good time. Finally, those that are i in the urban areas, theyre thinking life is not so bad especially as companies are allowing people at least parttime work from home. The commute is not an issue if you dont have to do it every day. All of those things are coming together and people are deciding its time to buy a home right now. Maria interesting. Steve moore. Well, you know, you talked about interest rates, obviously those are a huge boone to the Housing Market. I just in fact my wife and i bought a house a few weeks ago because of the great rates. Theres Something Else going on here that nobodys been talking about. When we were talking about the Retail Sector, i think it applies to this as well. Incomes, incomes have gotten clobbered this year and i just wonder where are people getting the money to buy these homes when youve seen a huge surge in unemployment. Peoples incomes are going to be way down this year. And so im a little surprised that the Housing Market is as strong as it is given how lousy the overall economy has been. We have been a bit surprised as well. I think the explanation is the 41 Million People that applied for unemployment are not typically our buyers. The restaurant workers, the hotel staff, we feel for all of them but they are not typically the consumers of middle income housing. Theyre elsewhere in the Housing Market, perhaps in rentals, but obviously there are enough that feel secure, that are in the home buying income range, and are out there right now and want to look at their next shelter. Maria all right. We will leave it there. Thanks so much for the update. Great to see you this morning. Well be watching. Thank you. Maria coming up, flying high, air travel seems to be beginning to bounce back. Were taking a look at those numbers when we come right back. Stay with us. Maria next week on mornings with maria, monday, new york city finally begins to reopen, former Police Commissioner bernie karik on the challenges ahead. Tuesday, Rod Rosenstein makes a bomb shell admission on the russia investigation, Rudy Giuliani on what comes next. Wednesday, dr. Fauci predicting a Covid Vaccine shot for nearly every american by the beginning of next year. Dr. Mike on what that means for you. Thursday, which of your favorite retailers will survive this pandemic . Former toys r us ceo jerry storch with answers. Friday, with markets nearing record highs, were following your money, its all right here on mornings with maria. Stock slices. For as little as 5, now anyone can own companies in the s p 500, even if their shares cost more. At 5 a slice, you could own Ten Companies for 50 instead of paying thousands. All Commission Free online. Schwab stock slices an easy way to start investing or to give the gift of stock ownership. Schwab. Own your tomorrow. Now every bath fitter bathbath fis installed quickly, safely, and beautifully, with a lifetime warranty. Go from old to new. From worn to wow. The beautiful bath youve always wanted, done right, installed by one expert technician, all in one day. Weve been creating moments like these for 35 years, and were here to help you get started. Book your free virtual or inhome Design Consultation today. Maria welcome back. Back in the air, american and United Airlines both boosting flights for the month of july, travelers eager to get awas, sending Airline Stocks soaring. Take a look at the performance yesterday on airlines, that continues this morning. American ramps up trips to 55 of its schedule from a year ago, united ticks up a quarter. Were coming off of very low levels. The tsa seeing more than a 90 decrease in passengers last month compared to a year ago. Dagen, are you hopping on a plane this summer . Dagen if i dont have a choice, i might. Id rather drive at this point. Part of the problem is is that many of the destinations even during the summer for travelers are new york, chicago, san francisco, new york city dont come here because we i dont know when youll be able to go to a restaurant. It could be im hearing from people on the ground, it might be next year when broadway reopens, not the fall, not september. So american, for example, you said it operating at 55 of last years domestic schedule. It was at 20 earlier this year in april and may. So its better but still not there. And these airlines bailed out by the federal government are still very hardhit. Maria yeah. I mean, the problem is, much of the reopening of the country is tied to the airlines. You know, Brian Brenberg, we had on steve wynn the other day, founder of wynn resorts and he said, look, its about the airlines. I cant say that vegas is going to do well until i understand are there going to be flights coming to vegas. So a lot of the big destinations like disney world are reliant on what the airlines are doing, opening direct flights to vacation destinations. Yeah, and airlines are reliant on them because while some vacation travel might come back, its the Business Travel that i just dont see coming back this summer. I mean, companies are slashing budgets. Theyre using zoom. I think theyre comfortable with it. Nobody wants to send their employees out on the road and thats where Airlines Make their money. I mean, Business Travel is the money maker. That one i think is going to be the slowest to come back. I was in new york the other day. I had to fly back to new york from minnesota. The move ive got to tell you, its the only time in my life where being at laguardia was pleasant because there was absolutely nobody there and, you know, that may change a little bit for vacationers. I doubt it with new york. But, you know, the Business Travel, maria, is no is that goo come back . I think zoom has changed that game. Maria yeah, its a good point. And Microsoft Teams as well. You know, you look at the last to come back, you say Business Travel. I Say International travel. Thats going to be tough, steve moore, to get International Travel. United airlines is looking toward the great outdoors. Theyre offering direct flights to aspen, colorado, jackson hole, wyoming. So there are certainly some destination thats the airlines deem as most important and most profitable, steve moore. Youre exactly right. I actually do think youre going to see a real comeback in Domestic Travel over the next three or of four months. Although its a big question, maria, whether people are willing to get on airplanes. Remember, americans are still very fearful about getting on planes or getting in any enclosed place right now but International Travel is just going to get crushed because of the fear of pandemics and the fear of going to places like china and asia and so but i have to say, i have been traveling a bit on planes and im like brian, you go into the airport, you get through tsa in two minutes. The only problem is, all the restaurants are closed in the airports right now so you cant get any food. All you can get is a candy bar and the planes, by the way, the airlines are not providing any food on the flights either. So thats a big problem. But look, its a good time to travel. You get your whole row tour self, maria. Its great. Maria yeah. Well, you said china. How about places like italy and europe, that International Travel, big ticket items for the airlines. Kiley jenner raking it in, her eyepopping salary, you will not believe this. Were going to take a look at the numbers. Stay with us. 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. Maria welcome back. Despite having her billionaire status stripped away, kiley jenner is still topping forbes highest paid celebrity list. Kanye west is a distant second with 170 million in earnings. Kiley is the only female in the top 10. Pretty incredible that she made that much money in a year, Dagen Mcdowell. Dagen she sold 51 stake in her Cosmetics Company to coty for i think it was 540 million pretax. So thats where that figure comes from. Remember, just recently, forbes pulled its, quote, billionaire status for kiley jenner, saying that her business is significantly smaller and less profitable and that the family has spent years leading the cosmetics industry and Media Outlets to believe that while she was wealthy and her business is worth a lot more in terms of revenue and income, kardashian clan denying that. Kris jenner denying that. Nevertheless, she and the whole family have made their money and their success is derived from a fixation in this country on fakeery and phoniness and makeup and appearance and basically manipulation. I wonder on the other side of this if we turn away from that and focus on whats real and meaningful, rather than, well, knowing how to use an instagram filter. Maria all right. Well take what do you think dagen kanye west is paying for the College Education of George Floyds daughter and so i wanted to give a shoutout to him for stepping up and putting his money where its most meaningful. Maria yes. That is very meaningful. What do you think, steve moore . Well, i think its actually so counter productive for most americans to see that the people who are getting rich in america are as dagen just said based on kind of phonyism and sensationalism, not actually building businesses that employ people and lead to a more productive economy. I think the heros of the economy are the people who start these businesses and employ people and those are the ones who have gotten so slammed in this terrible, terrible recession that weve been under so why dont we celebrate those people rather than these idiot celebrities. Dagen by the way, most of these people maria i understand what you guys are saying. Hold on. I know what you guys are trying to say, but the fact is, this is america. And you can have the American Dream and you can make money and you can build your business in any way that you can. Thats the beauty of the freedom. So im not judging them and going to say wow, she has 500 million and its all fakeery. I mean, this is a business. Shes built it. So you may not like that business but its people watch them every night. Dagen are american women going to look like her if they use her cosmetics . No, they arent. And thats what im talking about. Because if you go through this list of people these are exceptionally talented individuals. Kanye west is a brilliant musician. Im looking at the list. Tyler perry, incredible entertainer. Howard stern is howard stern. Love him or hate him. Lebron james, one of the greatest athletes of all time. Dwayne johnson is a huge inspiration in terms of his just positive attitude. So im talking about somebody who has made half a billion dollars based on pure appearances. And being able to market themselves. Kudos to her. I just wonder if our focus and our attention in this nation will be on things that arent so superficial. Maria yeah, no, i understand. But somebody was buying those coty products, right, to enable her to get that premium to sell coty. Dagen do they feel better about themselves. I ask the question. Maria were looking at jobs in america this morning, the may employment report is out this morning, its next hour, right here, mornings with maria. Stay with us. Effortless is the lincoln way. So as you head back out on the road, well be doing what we do best. Providing some calm amidst the chaos. With virtual, realtime tours of our vehicles as well as remote purchasing. For a little help, on and off the road. Now when you buy or lease a new lincoln, well make up to 3 payments on your behalf. Now when you buy or lease some Companies Still have hr stuck between employeesentering data. A. Changing data. More and more sensitive, personal data. And it doesnt just drag hr down. It drags the entire business down with inefficiency, errors and waste. Its ridiculous. So ridiculous. With paycom, employees enter and manage their own data in a single, easy to use software. Visit paycom. Com, and schedule your demo today. Maria welcome back. Good friday morning, everybody thanks so much for joining us i am maria bartiromo. Jobs friday genuine 5, we are looking at all sorts of jobs this morning your top stories 8 00 on the east coast economic in half an hour importants time may jobs economists expecting loss of jobs to tune 8 million in may Unemployment Rate expected to jump to 19. 8 when we get that report many hoping the worst behind us as businesses are beginning to reopen. Ahead of the numbers futures pointing to a rally start of trading check out dow industrials up high of the morning up 333 points that is 1s and quarter kwa s p 500 up 25 nasdaq higher 20 points s p 500 snapped a four day winning streak yesterday, in fact dow, nasdaq, s p 500 still on track, for a Third Straight week of gains despite yesterdays mixed performance, boosting the American Economy white house working on another round of stimulus, are reportedly to tune one trillion dollars in new relief o protesters taking to streets for a tenth day in a row mostly Peaceful Demonstrations last night happening from coasttocoast, as memorials held for george floyd. Battling coronavirus astrazeneca starting to manufacture a possible vaccine ready if proves effective expecting to supply two billion doses we check that out shares up this morning Airline Stocks overtaking off rising in premarket being as airlines are ramping up flights as well, they are looking at a rally underway this morning tourist destinations getting back to business this morning universal will open nba a plan disney world playing host mornings with maria is live right now. Maria Global Markets with firmer phone take a lookaties european indices, cac quarante up 59 dax in germany up 206 points one and twothirds percent following yesterdays announcement of additional stimulus from ecb, European Central bank expanding bonds buying program 670 billion dollars, it was green across the board in asia optimism rising for economic rebound as you can see, the markets were up nikkei average in japan hitting three 1 2month high, lets Check Oil Prices this morning news there as well oil is surging after opec allies agreed to extend record production cuts through july oil up 2 2 3 Dagen Mcdowell Brian Brenberg Stephen Moore are here great to see everybody this morning, on a busy show. Good morning, maria. Some top stories we are watching this morning from los angeles, to new york city, mavr built mostly peaceful he protests across the country honoring life of george floyd, more than 32,000 National Guard troops activated in 32 states protesters in capital braving bad weather d. C. Major cities lift curfews more than 10,000 people arrested nationwide since protests began. Emotions high in minneapolis meanwhile, as family friends, gathered to remember george floyd people at Memorial Service thousands watching from screens outside of 8 minutes 46 seconds silence amount of time floyd struggled to breathing as Police Officer kneeled on his neck. What happened to floyd happens every day in this country. It is time for us to stand up, in georges game, say get your knee off our neck. Minnesota department of human rights is scheduled to brief the city council today on state investigation, into potential racism within Minneapolis Police department, then this, envelope quarterback drew brees issuing apology coming under fire from fellow athletes for his stance against kneeling during the national anthem. There is not much that i can say that would make anything better right now i just want you to mother how sorry i am for comments i made yesterday i know that i hurt many people especially friends, humans loved ones, people that i care and respect deeply. That was never my intention. Maria hurt many people . Because he said the flag represents vrnz and those people fighting for our freedom. A bizarre world, brees is offering second apology later saying quote i will do better i will be part of the solution. New york city entering phase one reopening on monday it allows for the return of construction agriculture tlaimentd to curbside or instore pickup hopes to enter phase two by july new york city flattening curve with zero deaths reported for the First Time Since march. Jcpenney closing 154 stores this summer filing for bankruptcy hast month final sales expected to last three months jcpenney largest retailer to seening bankruptcy protection after covid19 forced it to close its doors, ch j. C. Opinion unify, closing stayathome orders lifted. Trump Administration Reportedly eyeing one trilliondollar stimulus package for the next round of Economic Relief decision is not final, of course, the President Trump made it clear, he does want to include spend for americas infrastructure in the next bill, congress two week recess beginning july 3 less than a month away is pushing any action until after july 20 louisiana congressman House Minority whip Steve Scalise always a pleasure to see you. Thank you so much for being here. Morning morning always good to be with you, maria. Maria so where are you in your colleagues on the next round of relief . Well, again, we are still working on the two plus trillion dollars already out there making sure it works well you just saw earlier this week, the Senate Passed a bill house passed last week to make even more improvements to the paycheck Protection Program should probably get signed by President Trump today that is going to help a lot of americans Small Businesses, who hopefully are going to be able to come through this start opening up more fully next few weeks that is something with a that we were all able to come together to pass very bipartisan some things that you are hearing out there bailing out failed states, you know is that not going to happen, and we just got, some work right now getting our economy back open maria when you talk about jobs reports, that are very dire we also know that we are starting to see businesses come back, that is where our focus nooesdz to be it is helping them come out of this to bring jobs back, restore American Dream lost for so many people needs to get back in place. Maria so much conversation about what the relief should look like, and then there is also a conversation, taking place, that lets see how cares act works out before we talk about another relief package you said the president will be signing, in today, into law changes for the pe. Pp program, and that includes, ppp program longer amount of time for business to have the loans, and they have more flexibility in terms of how much money will go to employees, versus how much they can spend on other things like overhead; is that right . Congressman . That is correct. You go from 8 weeks up to 24 weeks to utilize it because we did see recovery was expected to move quicker of course many states were later in opening up phase one, so lets give them more opportunity to come back there, and then on payroll side is businesses were forced many states to shut down even longer employees werent coming back we saw 600 dollars per week, so lets give more flexibility so that they can at least, utilize that money, if more employees werent coming back should not be penalized for that this helps a lot of Small Businesses, but real answer we all know is going to be, to get our economy back open, you are seeing states that did it safely, maria, but safe states that opened up, earlier, faster, are not having spikes in Hospital System any different than if shut in the important thing but will about health data hospitals not being overrun hospitals not overrun not one hospital in america had shortage of ventilators open hospitals back up getting people to jobs health care, checkups look at data that is out there right now on negative consequences of the shutin because people didnt go get doctors visits mammograms, ultrasound serious, concern that this is causing Peoples Health staying shut in. You are absolutely right steve moore jump in. Hi steve scam ice your friend steve moore here quick point you and i talked about this over the last number weeks, so really urgent importance, of repealing payroll taxes single best way to get americans pay raise to get employers to hire more you and i have talked about that. I am not hearing i am worried republicans are backing off that will you please reassure me that republicans want some kind of tax relief for employers, and people who are working. Y clearly obviously we talked about this for language time you were an advocate, by the way, very, very early of opening economy up again, the damage it does not only economically but he physicallyly. You and artist laver vocal about taxing contract probably conviction stimulus i think out there not going to trade for bad permanent policy like Green New Deal clearly still on the table. Yeah, what about this report, in the New York Times i want to ask you about this that says, it is going to take 7. 9 trillion dollars to get us out of this in terms of what the pandemic will cost the economy over 10 years. Congressman, is that what you think that it is going to this new projection finds virus costing u. S. Economy 7. 9 trillion dollars countries facing debt crisis obviously, will be hit harder. Whatever total number is we know very large we are hearing reports in restaurant industry, for example, 25 , of the restaurants may not come back. In retail you just mentioned jcpenney other retailers arent coming back on tech side there is there is a lot of companies that are benefiting, on tech side, oil and gas industry hopefully starting to come back when you see jobs numbers, but not the jobs oil price but Global Demand has to come back for oil, for all products, and the quicker it can come back lower that number will be, that is why the shutin has to end. You know weve seen now there are negative consequences to keeping people at home, our hospitals, not only not overrun hospitals are dying on brink because they dont have enough patients coming in to get normal operations procedures weve got to get economy opened a large number we can limit that number getting our economy back on track restoring jobs for people. All right congressman great to see you this morning thank you so much we will be watching, the developments congressman Steve Scalise in louisiana markets higher futures a gain start and to you steve thank you jobs report is out in 15 minutes we got a market that is up in triple digits dow industrials up 318 points one and a quarter percent nasdaq up 10, stay with us. Well be right back. Maria welcome back. Jobs report for the month may due out 15 minutes time estimates call for decline of 8 million jobs, in the month of may with Unemployment Rate topping 19 , the report is expected to show ongoing damage from coronavirus, lockdowns shutdowns Brian Brenberg what will you be watching do you think we will learn anything from this report to give us just to suggest that weve seen the worst seems to be, what many people are saying . Yeah i think, maria, the number is going to come in below the expected number and the reason i think is because businesses over past month have been fighting incredibly hard to keep employees on even sometimes not paying, insurance premiums or rent they prioritized that is why i think the adp number was so low, i would like to see this below 8 million tells us that we are ready for bounceback businesses have already been for a questioning gearing up for opening. Dagen a big jump in average Hourly Earnings yearoveryear we saw in april expectation there up 8 1 2 but why it is because the outside gains wages reflect a larger portion of losses of job losses low paying service jobs, from the coronavirus Lockdown People without a high school education, they went from unemployment earlier this year below 7 , in april, to north of 22 , you will see those elevated unemployment levels among the people who cannot afford to be out of work. Maria i will tell you even if we have seen the worst these are some really ugly numbers steve moore this week he have a had Kevin Hassett from white house he said that he had heard something, about a 50 contraction, in this Second Quarter contraction Second Quarter going to be so sharp we know we are already in recession do you think the contraction that were in right now Second Quarter is going to surprise people to the downside . Very well could, i have been following the gdp now number, maria put out by fed, they are predicting 50 decline just god awful i will look at i want to see retail jobs first i want those numbers for Leisure Hospitality, how bad it has been hopefully we finally hit the bottom. Yeah, we will see coming up in a few moments we are moments away from the may jobs report, seven minutes away break down everything you need to know in jobs when we come back. Stay with us. I know that every single time that i suit up, there is a chance that thats the last time. 300 miles an hour, thats where i feel normal. I might be crazy but im not stupid. Having an annuity tells me that im protected. During turbulent times, consider protected Lifetime Income from an annuity as part of your retirement plan. This can help you cover your essential monthly expenses. Learn more at protectedincome. Org. Now every bath fitter bathbath fis installed quickly, safely, and beautifully, with a lifetime warranty. 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Unemployment rate to 19. 8 here to break it down, as we look at the jobs picture today, the america make money host charles main with us chief workforce analyst johne courtney and Senior Writer Jon Hilsenrath thank you so much for being here charles quick prediction and your thoughts what is most important in this report this morning. Well, i agree with everyone i think it will be less than anticipated still confused about 8 Million People classified as other last month previous month i think what i want to see a lot of people still believe in that jobs that are lost are the temporarily lost see if that changes, a huge, huge anomaly last time would like to sight stay that way. Maria johne courtney . Maria i think we will see, still, you know pretty devastating number this month, but i can tell you from the front lines, it is Getting Better, even in the last few weeks we are really seeing an increased demand for workers to come back that have been on frlo, so great sign even automotive sector started to come back in south i expect some improvement going to take some time. Maria all right. A short break then we will get into it may jobs report coming out right after this break. Stay with us. Effortless is the lincoln way. So as you head back out on the road, well be doing what we do best. Providing some calm amidst the chaos. With virtual, realtime tours of our vehicles as well as remote purchasing. For a little help, on and off the road. Now when you buy or lease a new lincoln, well make up to 3 payments on your behalf. Welcome back. Good friday morning. Thanks for joining us. Im maria bartiromo. Jobs friday, june 5, breaking news on jobs in america coming up in a few moments we will get the may jobs report economists expecting decline 8 million jobs in may, they are expected Unemployment Rate to jump to a level 19. 8 , we will get numbers see how they impact markets as soon as they hit the tape ahead of numbers futures pointing to a pretty good rally start of trading take a look, dow industrials up 314 points right now that is one and a quarter percent nasdaq up 14 and one half fractionally gain, s p 500 up 231 4 right now lets get final thoughts first Jon Hilsenrath what would be your most important takeaway, from this jobs report when we get it jon . I am looking at Unemployment Rate, which we have that bubble since Great Depression. Dagen your final thoughts before we get this report. Dagen to look at u6 in april, it was close 23 those are people who have dont have enough hours so a better measure of how many people are out of work, or not working enough, 22. 8 what it was in april. Even if that holds steady that would be a positive sign. Maria yeah and joining joanie you said things are Getting Better is there something we see evidence things are getting we are not he to be honest this report we know more of a lagging indicator unfortunately looking at revisions to march, april i think we will. Maria expectation here, freeways are a loss yeah, the expectation first a loss of 8 million jobs month of may Unemployment Rate, 19 plus, here is Edward Lawrence the number, we want to get those numbers right away there hitting the tape, Edward Lawrence is going to have those numbers will give us color Cheryl Casone is looking at number as it is imminent right now. Cheryl okay, first i want to start with number of jobs that were lost estimate 8 million looks like loss 29. 5 million excuse me we gained 2. 5 million is that correct rachel gained 2. 5 million were seeing okay unemployment, lets see april payrolls he revised, let me see Labor Force Participation rate 60 estimates unemployment 19. 8 came in 13. 3 , but, again, i got to go back to this had to recheck estimate for a loss of 8 million jobs what were seeing we gained 2. 5 million, jobs, april unemployment 14 13. 3 , the april number was not revised i want to make that clear also i am looking ats private sector payrolls, for may, gain of three million a gain of 3 million enviable average Hourly Earnings down for may, about a percent another surprise was talking about that Unemployment Rate for may, 13. 3 , looking for 19. 8 there goes market obviously, on pretty shocking news right now i go the to say lets talk about manufacturing, estimate was for a loss 440, we actually surprised,gained 225,000 we werent looking for loss of 440 manufacturing jobs got a gain 225, private payroll thought getting a loss of 7. 5 million we got a gain of 3 million, these are incredible, lets talk about the again, the average earnings, the number for gain 1 loss of 1 , this week people came back to work looks Like Companies actually coming back in, u6, 21. 2 i want to bring that in because dagen made really good point about that it was 23 about last month now 21. 2 so dropped, monthovermonth that number could have been a lot worse, government payroll coming in a loss 585,000, Labor Force Participation 60. 8 labor force the participation 60. 8, u6 coming in 20. 2 apologies for breaking news i needed to make sure that was what we were seeing so off charts i got to tell he you for Unemployment Rate and jobs number the estimates way off for this report, guys. The range for the job losses was 1. 6 million to 17 million we gained 2. 5 million, that is a shocker i got to say the range from estimate for the Unemployment Rate, again, way off economists were way off looking i have seen 27 Unemployment Rate again coming in at 13. 3 and, again, the manufacturing jobs that is another big shocker the estimate down 440, it was gain 225,000. So with a what we are seeing not Unemployment Rate during Great Depression we still we did loss 21 million jobs between march and april have to kind of say that o so now if you take off 2 1 2 million, you are looking at you know just under 20 million jobs lost maria i will send back to you panel for reaction again, had to doublecheck numbers that was absolutely not what we were expecting just now in markets are reacting incredible. Maria cheryl we were all giving a headed fake all saying let me look at notes while you were looking at numbers just breaking, again, this is a total surprise there were no expectations out of all the economists that were surveyed no expectations of job growth. In this month in fact cheryl reported it 2. 5 million jobs created in the month of may lets get reaction, first Dagen Mcdowell, pretty incredible to see private sector also come in u. S. Private sector jobs 3 million. Dagen manufacturing numbers picking up, and gaining 225, i would expect some of that would be Auto Industry people being called back to work, those people popular furloughed, this in one word is recovery. These numbers are still horrific with the u6 still above 20 , but, nonetheless, this is a labor market that is clearly headed in the right direction. Maria what do you think steve moore . I am so stunned i mean in every seen anything like this, recovering covering reports 30 years you know we usually talk about errors of maybe you know, 10, 2050,000 we were off by what 10 million jobs . So all of the economists forecasters had it completely wrong, i am stunned i am happy doing cartwheels in living room such great news for american people, just one take away from this no need for phase four plan stop spending money washington we are don with it do payroll tax cut we done dont need more Government Spending i think will take air out of sales of a massive multitrilliondollar spending bill. Umhmm, here we go, by the way, your even lets go through sectors you saw job growth in Hotels Hospitality more than a million jobs, there, and weve been talking about how the Services Sector of this economy has gotten crushed we are seeing jobs created. Absolutely, i was looking at these numbers maria, you know, a great surprise. Certainly, that the economy is rebounding, faster, you look at april we lost you know 7. 5 million jobs, in hospitality now may looks like 1. 2 million jobs came back, which is really fantastic. Retail sector as well, which had a huge loss in april of 2. 2. 3 million jobs, they came back added 367,000. Now i will tell you from what were seeing out, Retail Sector is doing extremely well with ecommerce, online jobs not coming back you know to the stores the brick and mortar, those traditional jobs unfortunately, the Current Situation in our country is challenging that a bit more, but manufacturing, again, came back strong. I do want to mention how do you in manufacturing because many of those jobs that are coming back even in automotive, the suppliers, just manufacturing in general are the lower wage jobs. And those employees are making more money on unemployment and it is very difficult to get people back to work. So to steve moores point we dont really need the stimulus right now we need to get people back to work. I will say the numbers put it will could have even been better maria if we could have got more people people are weve been reeling on this idea that Unemployment Benefits and 600 dollars, going to people, who are staying home in some cases, that is allowing those people to make more money, while staying at home, that program is in place until the end of july, so why come back when everybody is trying to reopen when you make more money sitting at home i want color on this report this chashth has taken off better better numbersios up 600 points Edward Lawrence in washington going to break down the sector job creation, because edward i think fascinating that you even saw jobs created in hospitality sector one of those areas that really took a hit a hardhit, because of the shutdown. Yeah. This is amazing job report a higher sort of a 10,000 foot look at this seems possibly maybe the peak of the unemployment if you want to call it a peak, was april, as opposed to in may. A lot of the are Federal Reserve president s said we would see higher the peak would be now highest Unemployment Rate right now then startle to come down this may indicate the shift is happening a little bit earlier in terms of the the rebound look at some numbers here Leisure Hospitality gained 1. 2 million jobs, 1. 4 million jobs if you add in food service, and drinking places. Of health and Education Services that includes hospitals, added 424,000 jobs, talking about retail, adding 368,000 jobs after losing 2. 3 million jobs, in april, wholesale trade up 21,000 manufacturing, up 225,000. Now mining only sort of bad spot on this report lost 20,000 jobs in mining, but the rebound here is astounding if you break down unemployment number 13. 3 , look at white unemployment 12. 4 black unemployment 16. 8 , his tannic unemployment 17. 6 , asian unemployment 15 steady there again looking at rebounds construction rebounds in Leisure Hospitality rebounds hospitals Education Services, was a huge gainer in 2019 to beginning of 2020 so maria, this is this is a shocking report. That is all you can say back to you. Maria thank you. Yeah, President Trump just tweeted about this, the president rights big jobs report great going, President Trump, kidding but true, we are in middle of a shutdown we should not celebrate just yet but certainly this is a betterthanexpected report Jon Hilsenrath there is still a report in the New York Times says going to cost 7. 9 trillion dollars to get the economy back up and running next 10 years. Well i havent seen New York Times report let me say a couple things about this report first of all, like everybody else, i was on five minutes ago saying the expectations 20 million was 20 unemployment number, i was wrong. And so i you know i have to own up to that. It was not near 20 , in some ways it actually makes sense when you think about it, even though i couldnt say i was expecting it, the shutdowns have been looking at state shutdowns they peak also from coronavirus the infrerns peaked midapril makes some sense retrospect started to see some coming back on line in may i think going to take time to see how vigorous the rebound is, but it does look like what we saw was peak in this crisis in april, and beginnings the beginnings of rebound in may, at the steve moores point fed is holding off making a decision, about its own stimulus so i think the big issues on at has to do is going to be they are still fiscal [audio breaking up]. State local governments you are in and out. From federal government red states blue states i reminded everybody across the board major fiscal problems to deal with. Totally i will say Steve Scalise on earlier said now not talking about putting state stimulus in any of this next package we want to see how phase the cares act plays out, and, there is a difference when you look at states we will see what states and cities get because as you know mayor de blasio said he wants 7. 4 billion dollars to make him whole, Charles Charles this has to be a surprise to you we were expecting a loss in jobs look at market up 660 points on dow, 2 1 2 million jobs added in month of may charles. One premise i have been doing on my show to be quite franking not that much of a surprise number is not the fact dramatic difference from expectations, for dictates we have said market knows, the market knows. What has market been telling us for the last two months . It has not been about a vaccine, the stock market felt and seen that this slowdown wasnt going to be Agency Strong as 4 drop from highs recovery would be quicker the stock market told us there every single day, in experts said stock market was wrong. Also, the lab jobs 90 says i am temporarily laid off experts say they dont know what they are talking about listen i am almost fully he have vested 5 cash making people a ton of money that is for me what it is all issue abouts there is pessimism but also a optimism and optimism the sad thing about narrative for this year, has been the fact that it is always going to get worse, that ignore stock market, the individual investors are dumb instead of watching football buying stocks i think this morning dow being up 665 points, perhaps we will talk about all major indices retesting all time highs everyone blooevend for years believe market great indicator what is going to happen 6 months, 18 months from now changed, changed because of politics it changed because analysts dont like the guy in the white house, that is what changed, what pisses me off a disservice to people where what have you sold portfolio march 2 who do you turn to say i was watching amazing experts who told me it was going to get worse. Maria interesting because the dow is certainly, breaking out here we are looking at a breakout, up better than 640 points, technically it is break out territory a couple technicians said to me that has been due to individual performances like boeing, boeing has been doing very well driving the dow up, about the breakout going to be higher up around 3160 to 3200 next resistance for s p 500 s p right now up in premarket one and a half percent Brian Brenberg your reaction to this as i see all these students coming out of College Looking for jobs, and they are facing the worst jobs market weve seen in long time has to be good news here, that is this two and a half million jobs added to the economy in may right. The worst job market ever the experts have been saying i think it is important to Pay Attention to what just happened here. We have the expert predictions and actual number way, way, way different the difference here if you want to understand the number we got about youve got to Pay Attention to what is happening in your Neighborhood Talk to your neighbor in construction, you got to talk to neighbor in out a mechanic if doing that i thought number would be better than expected when you talk to them you saw them even in may even early may starting to get back at it, the experts are often in bibles the real data in your neighborhood, what was happening cities across the country people werent just protesting wanted to get back to work doing that and the planning to get back to work that is the number were seeing today, that is a hopeful number we needed to number badly not just because it changes a bad narrative or because real opportunity real growth, for people who are desperately looking for it. Maria yeah. Joanie i love the Peter Navarro oped today doing . Where jobs of tomorrow may be that is technology, and that is health care, even space he says most important event this past week wasnt a burning looting of cities it was saturdays launch first manned u. S. Space mission in almost a decade what were seeing money moving into areas of technology, certainly the market look at Leisure Hospitality joanie jobs in may up 1. 29 million the industries that got crushed as a result of this shutdown, walk us through it joanie. You know, i think it is great maria to see all of these sectors starting to come back, even health care, was hit so hard in month of april, because all the nonessential health care, really was impacted we lost over two million jobs, now, they added back 390,000 jobs, i want to tell you what i am most excited about maria, that is the future of manufacturing. Because i have spoken with some of our customers across the country they are thinking strategically about bringing manufacturing back to the United States. Their companies do not want to be as relianto china other places in the world due to what they just went through with covid. So i think we are also going to see strong manufacturing, of course, Technology Going to come back professional Business Service sector i think health care will continue to do well, the retail distribution will do well i mean overall, this report is showing us that yes, we had a very, very difficult time. But we are coming out of it, and it could be very exciting for the future. This may cause us to completely change the dynamics of jobs in our country. Maria yeah, it certainly feels Dagen Mcdowell like these could suggest maybe weve seen the worst of this pandemic, shutdown as we now see job creation, one month is only one month. However, this kind of a number certainly suggests that maybe weve seen the worst. Dagen can we look at Leisure Hospitality job numbers created. 1. 29 million. Dagen all jobs in Food Services drinking establishments all of them in that category, so a lot of that would be fastfood restaurants reopening. People doing delivery those restaurants reopening, so that Leisure Hospitality where all those jobs were created. Maria i love the fact construction up 464,000 this is one area, that certainly opened sooner than others one of those areas that a lot of people said look, you can do social distancing if you are on a construction site, you can o make sure to wear the masks have gloves you can bull homes, goods producing another important one here because we are seeing an increase, of factories workers and were seeing this increasing appetite to bring supply chains, to america, up 669,000 on goods producing, good report overall anything to take away, other than, what the obvious is Jon Hilsenrath . A yeah, i i mean a couple things as i said fed having a meeting next week i think starting [mic breaking up]. At the first at 17 cant hear him jon we cant hear you im sorry we cant hear you he let me ask you about, charles payne, here we go looking at market rallying the dow industrials up 572 points, however, the nasdaq is actual negative, i wonder is this just a movement to say look, let me sell some tech because up at you know at such high he levels let me start looking at some industrials instead maybe this is just just portfolio movement. What do you think . One hundred percent has been going on about 10 days now even yesterday, technology, Communications Services either flat or down. But here is the thing industrials, materials, financials coming on like gang busters i did a special segment on airldz yesterday they are the proxy to watch for this economy, because they are the most challenged, if airlines are American Airlines a week ago zero rumors rampant of bankruptcy up 30 yesterday can now say we are expanding, yes you are going to o see money pouring through what they call cyclical stocks sectors reflect emerging economy going on 10 days that was tell, continues today what i would love to see maria as continuing yield now over 90 ,. 09, 9 10 of one percent money out of bonds into all equity sectors right now a lot of rotation out of tech names that are a huge, to under names that are still down for the year remember only 150 names s p 500 up for year 350 down average 20 , investors smell value. Maria wow. Yeah look at airlines are American Airlines united up 20 right now obviously, you are seeing a massive snapback, when you look at moves like that, as they rampup flights, Brian Brenberg your reaction. Yeah, can we not spend a trillion more dollars we dont have on stimulus now that weve got a northbound like this just hold off a little bit, i said for a long time many said a long time key to this economy reopening youve seen people grab the bull by horns they have gotten back to work i love construction number because that is a bet on future. You build things you create things, when you are looking at a future that is hopeful the fact so much job citation jobs come back tells me Small Businesses Large Businesses have optimism about this thing getting back on track. This year. Maria it sure does dagen. Dagen charles i want to ask you a question though in most recent week according to financial times, investors put 22 1 2 billion dollars, into bond funds, the vast majority of that went into Corporate Credit Investment Grade Corporate Credit even jobs with idea that the Federal Reserve had back stopd all that debt even though they only bought a small amount of Bond Exchange traded finds. What do you make of that out of curiosity that people are under exposed to stocks may be overexposed to Corporate Credit . You know a great question dagen i have been so frustrated with one area, that and this is not just this week but going back for language time, investors taking money out of funds aimed at domestic investments putting in overseas equities or bond market, over four trillion dollars total, four trillion individual we did see some out a week ago according to ici, but it is a little a little disheartening for me that is why i think there is an argument for companies to buy back their own stock, if individuals wont buy stemh thems someone needs to buy them particularly for Quality Companies great point disheartening for me to see this trend going on a long time. Maria 446 i am i am aastoundeded like hospitality like the construction, even, even manufacturing, up 225,000 retail, in month of may you had so much closed in retail this has to be ecommerce because, of course, we are all ordering stuff from home 368 million jobs, in retail as well joanie are there suggestions here in this report, that this continues . Or is this oneoff how do we know that . Well i can tell you from the demand side of the business, i would expect that this is going to continue. That were going to see continued jobs gains especially in june, and july. You know if we continue to keep virus from increasing levels great to see in new york yesterday shows there was zero deaths definitely a step in the right direction. But, you know, what i am we see from our customers that is there is such a strong demand. I do have to make one quick point, on the ppp program, i think that was key to this quick rebound. It kept many of those small to mediumsized businesses going they kept their employers they brought some employers back that is where we saw some layoffs in the beginning, was Small Businesses before they got those loans they started furloughing staff, as soon as they got loans, they started bringing them back, or able to hold on to them. So i do think that was key to this recovery, we are seeing. I do think going to continue maria. Maria yeah, you think it will continue because dont forget you had all that stimulus thrown at economy up to 10 trillion dollars stimulus thrown at this economy this was relief package we are seeing but who made the appointed that maybe you want to wait, Brian Brenberg before you see another relief package given the fact we are seeing a change here, i dont know if anybody thinks this is going to be a vrecovery based on this what do you think brien. I will say this, if you are going to get a vrecover going to start with Something Like being this a v kind of number the point about stimulus we dont want to spend money we dont have especially if going to mess with incentives already in the economy clearly, it is the case the mix of things going on right now, has caused people to bring employees back to work, think about how hard small, mediumsized businesses had to work the past month to make this happen take place significant risks to bring employees back on even with headlines said things arent going to great better a kudos to american businesses, sticking with employees. Maria yes some of this, some of this is furloughed employees, that were out, and now they started to go back. So i know lets not forget we had all jobs lost month before some furloughed people are actually coming back by all estimates, this is certainly, a blowout because people were not expecting any growth in jobs, now we are beginning to see, growth now i want to point out that we talked about a contraction in the a Second Quarter we had Kevin Hassett on he said look some people talking about 50 contraction, that is priced in 20 contraction, is already priced in, but we will see charles if in fact it is as bad as the Federal Reserve talked about the other day when was 50 contraction, even in face right. I think its a dwrgreat point. Heres the thing. Brian is coming at this from a practical point of view of a professor who studied economics. Not someone who is talking about an election in about 55 days. I think the semantics will change, though. The other stimulus f you will, it wasnt stimulus, it was considered quote unquote, relief. Yesterday the ecb added another 600 billion euros so i think the feds still going to act and to be quite frank with you, i still think President Trump is going to put something together with congress that will be near 1 trillion and instead of calling it relief, maybe its called stimulus. The next step after saving the economy is to give it an extra boost. I cant see how any politician, many politicians, are going to fight against this with the election in november. I know economic purists dont like it but i think politically its going to happen. Maria i just want to point out that President Trump is going to be holding a News Conference at 10 00 a. M. Eastern this morning to talk about jobs on the day we get a report that shows growth in jobs for the month of may. Yes, you know, i think the key of what were talking about also with the stimulus is really focused on whats hurting the economy is really just the unemployment piece. I think we would all agree that the other stimulus is keeping businesses afloat and getting the Small Business owners to invest and hold on to their employees and bring them back so the issue is still unemployment which we will see that end in july. I doubt they will continue that with the demand that we are seeing. I mean, job postings are increasing, employers are optimistic about bringing workers back. We are going to see growth, you know, in retail, in the travel and hospitality area, manufacturing, construction. We are moving in the right direction and wages are also going to continue to move in the right direction. So overall, as we all think, this is so much better than expected and a really good sign for the economy today. Maria no doubt at the president s press conference at 10 00 a. M. Eastern, you will likely hear a lot about bringing manufacturing back to the United States to keep those numbers going up on the factory floors, dagen. Yeah. And reopening new york and the rest of the country. New york, california, illinois, new jersey make up about onethird of the national economy. And it hurts, the economy being shut down hurts farmers, food suppliers and truckers so there are only brighter skies ahead if we can get these liberals to open up the economy and let businesses get back to work. Maria its all connected. I want to thank everybody. Great to see everybody today. Charles payne, joanie, jon, have a great day. Varney Company Begins right now. Stu, teeing you up for the greatest jobs numbers we have seen in a couple of months. Stuart wonderful. Great. Good morning to you, maria. Oh, boy. Good morning, everyone. Weve got news for you. A wild surprise on jobs and a massive stock market rally. We will try to explain it all. I will start with the jobs numbers. Okay. The Unemployment Rate went down, i repeat, it went down, okay, a still high 13. 3 . Everybody expected it to go to near 20