Transcripts For FBC Cavuto Coast To Coast 20240712

New jersey, connecticut. That really added to things. It is still going on. Governor andrew cuomo on the screen speaking live right now. At the beginning of this, they cade a joint announcement. People coming into the tristate area from certain highrisk states would be ordered to quarantine for 14 days, when investors heard that, the market went another leg lower. Well cover it from all angles, starting with Jackie Deangelis in the new york newsroom. Like i said, jackie, things were not going great to begin with andth just added to it, right . Reporter exactly right, connell. There are is a twopart story. There was fear in the market about being spike in coronavirus cases across the country in certain states. That added to tension for investors. Were seeing a spike going into the summer. That was not predicted. Theyre thinking about what could happen if there is a second wave. That is the push and pull weve been experiencing in the marketplace. New york, new jersey, connecticut governors say we will impose the quarantine rules for certain states with higher amount of cases kind of compounded that fact t gave it more life to the fear already out there. As you mentioned we were talking about this morning, california, arizona, texas, theyre seeing record numbers, record spikes in cases. That is an issue because the summer was supposed to be the period where everything was supposed to calm down a little bit. At least that was the hope. This rally that weve seen has been on reopening optimism, stimulus, vaccine hopes but anytime you put a dash in any of those the market pulls back just a little bit. So you can see that is happening here. That is one part of this drop that were seeing. The second part was more tension on trade relations. This time not with china, but with the European Union. So were seeing all s p sectors, 11 of them, down today. The nasdaq hit that alltime high yesterday but it is seeing a pullback as well. And on the trade front the story there has to do with the office of the u. S. Trade representative saying it is reviewing certain tariffs on the eu as a result of the ongoing aircraft dispute. Theyre saying they could modify duties on a range of products, keep them the same or even increase them, and the value of the goods were talking about is 3. 1 billion. So it is not insignificant. It shows you how important trade is when it comes to the global economy. Not just with china. Having said that lets look at stocks today. Because it is economically sensitive stocks are having trouble. Energy, financials, industrials. They are the ones pulling back. Youre also seeing a pullback in the Health Care Stocks as well. Unh is one of those names. Look at boeing, look at goldman sachs, look at visa and travelers as well, theyre taking about 150 points on the dow. These losses are much steeper than they were earlier in the morning, connell. Connell jackie, thank you. To go back to the quarantine order from the governors in the tristate area, in alphabetical order Governor Cuomo says the States Affected for now, alabama, arkansas, florida, north carolina, south carolina, washington state, texas and utah. Texas is a point of emphasis. Before we were talking about these governors, the governor of texas greg abbott getting a lot of attention came out with a spike in cases there, basically said might be best to stay indoors for a while. If you go outside have your mask on. Casey stegall live in dallas for us. Casey. Reporter interesting to watch this play out live. The rolls have reversed. Texas doing selfquarantine from anyone in that part of the country, new york, new jersey and when louisiana was also spiking. Now it appears folks from this state, a bunch of others as you just mentioned now having to selfquarantine if they go up to the tricity area. The governor of texas greg abbott is urging people now at this point to stay inside. To stay at home, if they are able to do so, although no mandatory orders have been issued or anything like that just yet. More than 5400 new cases have been reported in just the last 24 hours here. That is the largest daily increase since the pandemic began. Testing Positivity Rates have doubled. As have number of hospitalizations. In fact the countrys largest Childrens Hospital now accepting Adult Patients in the houston area to help take the strain off the Regions Hospital system. Abbott directed the state to enact emergency rules when it comes to providing new Health Care Standards at child care centers. Also instructing local leaders to impose restrictions of outdoor gatherings to 100 people bringing the number down 500. Data showing 84 of that states hospital icu beds now full. In the last 24 hours arizona has reported some 3500 new cases, also setting new daily records. Health Officials Say perhaps most troubling, arizona has the highest positivity testing rate in the entire country. Listen. [inaudible]. Every single day and our also increasing the rate of positivity that we see. It is now, were seeing it is hovering right around 20 of our tests are positive. Reporter setting new records. Today more than 5500 new cases reported in the sunshine state. Leaders say young people, now account for the majority of new infections there. Tampa and orlando among the u. S. Cities experiencing the sharpest rises. And for contrast, some cities seeing the fastest declines, indianapolis, indiana, detroit, hartford and connecticut. A lot of moving parts here. Connell were definitely not all going in the same direction, youre right about that. Thanks, Casey Stegall live in dallas. Made number of important points there, one on the Positivity Rate which well talk more about as we continue to cover the market selloff. In arizona as casey said and florida. When you hear this is all about more testing why were getting more cases, that is not the entire story. The Positivity Rate is important and it is reaching levels in a state like arizona. Well talk about florida a little later in the hour that is really concerning to some of the experts. Keith fitzgerald joins us on the mark market sell i dont ha, more than 700 on the dow. We mention how much this market run up from the march 23rd lows. We do have days like this. There was a day we were down 1800 on the dow. So what do you make whats happening today . That is a very important point, connell, you have to keep stuff like this in perspective. The markets go up and they go down over time. They go down more regularly than people think regardless of why. The thing that concerns me the beginning of today it was a little rough. But we had measured selling. We saw computers get into the game. Now it is like last man standing. The computers are falling all over themselves. Why this accelerated dramatically to the downside. How far it goes, whether the computers bring themselves under control. Connell they did that when they saw the headline, right, came out of cuomo, murphy, lamont about the quarantine in new york, new jersey and connecticut. Whats your take on that in terms of, you know, not necessarily medically, how effective it might be but impact it has from what you do with investing, that type of going back to where we were sort of thing . It changes the narrative. That is a very important point, connell. The narrative for a long time has been about hope and about recovery. When you have Something Like this is literally cold water right in your face with regard to the possibility of a recovery that is going to cause a reset and going to cause a reset both in humans terms and once the machines begin duking it out. 85 , not many people realize it, 85 of todays markets are computer controlled, etfs, mutual funds. These are all big parts of he a equation. Connell yeah. And then weve seen it, that is why things move so fast, seems like forever, only a couple of months ago when all of this started, we had crazy days, next thing youre down one thousand points, 2000 points, whatever it might be, next day you bounce back by that much. It is really amazing the levels that were at on the nasdaq especially. Look at the dow, 25,400. To be at 10,000 on the nasdaq given everything weve been through, does that, kind of excite you, say all right, were going to get through this or does it worry you maybe stocks are a little bit, were ahead of themselves and we get days like this to remind us where we really are . More the former. The market, missing opportunity is always more expensive proposition then trying to avoid a reset. History is very, very clear about that. Take Companies Like apple, like microsoft, like visa, jpmorgan, any names under pressure today, big down days. You want to buy when it hurts. The more it hurts typically the bigger returns are. Whether or not you have the capital to do that or the guts, that is a different equation. History is very exciting because money does want to grow if you latch on to the right companies. Connell you get a sense before we let you go, keith, we are going back into some sort of a lockdown phase . Seems would be tough to put Something Like that into play across the country as Casey Stegall was talking about. That got people concerned when they heard from cuomo and company today, that it is back to the future, whether related or wrong medically. Are we going back there . You know thats a tough question. Im giving that an awful lot of thought right now. As you know i spend part of my year in the far east. The word lockdown has very distinct connotations there versus what it does there, where the culture is about the group whereas here it is about the individual. We need to get america open. We need people to get back to work. We cannot withstand the economic devastation of a closure. With that said, who do you protect and how . Those are questions we dont know. Moment we figure that out, the market will come roaring back. Connell down for today. But it has been roaring for quite a while. Thanks, keith fitzgerald. Next up on the travel scene when you talk about limiting amount of travel people can do from one state to another. That is what Governor Cuomo and governor lamont of connecticut and governor murphy from new jersey, they say if you come from these certain highrisk states you are supposed to quarantine for 14 days if you come back into new york, new jersey or connecticut. We have a travel expert. Your thoughts on all this . I think it is a complete disaster to be honest and i really got to say i dont blame the European Union wanting to ban americans from visiting this summer. Think about if it was reversed. We would total did i do it. In terms of new york, new jersey and connecticut, i got to say i cant blame that either. It was reversed for a while. New york, new jersey, connecticut did the right thing. The other states did not and they still not. We didnt do the right thing initially and it keeps gradually getting worse. It is affecting all aspects of life, the stock market as you say has been teetering on disaster for a while now. Connell meaning that you were set up in your view maybe for a day like this even though weve been rising . Now we do get the selloff. Well see how sharp it is. Industry which follow which is travel, that is not good news which is europe we were going to lead in to talk to you about today or the domestic side, right . It will be a rough year for travel. I really dont think americans will be able to travel to europe this summer or for the foreseeable future. You know our cases are just too high. From european perspective they went through hell basically and they did the right thing. They got through it. And they dont want americans who have done a poor job coming over and reinfecting them. Again, sad to say, but really hard to blame them but it is going to hurt a lot of industries across the world to travel from here to europe. Theyre more Community Oriented out there than we are here so it is not a big shock to me at all. Connell what are you telling people . Get the Station Wagon ready, stay close to home, those types of trips this summer . Great american road trip, man. Social distancing activities like golf, it will be a rough go for rest of the year, probably into next year unless they have some type of treatment or vaccine but no hose about that. Connell all right. Well you got to make the most of it and there are ways to do it im sure for many people close to home. Thank you, lee. Well continue on the story. Were down 700 plus points on the dow. Advisory that came in from Governor Cuomo and governor lamont and governor murphy certainly has had an impact on things. We were already down but we extended things as they are requiring or to the extent they can, a selfquarantine for people coming in from highrisk states to their states. Well be right back at mercedesbenz, nothing less than worldclass service will do. Thats why were expanding your range of choices. Many dealers now offer optional pickup delivery and athome maintenance, as well as Online Shopping with Home Delivery and special finance arrangements. So, whether you visit your local dealer or prefer the comfort of home you can count on the very highest level of service. Get 0 apr financing up to 36 months on most models, and 90day firstpayment deferral on any model. Connell let me add as we come back on the market selloff day one more piece of information coming out of that briefing with new yorks Governor Andrew Cuomo as the hits keep on coming. He just wrapped up by the way. He said shopping malls and gyms in new york state may not be able to open until there is a coronavirus vaccine. Many of the gyms in the area were getting set to open maybe the next few weeks, sometime in july and shopping malls were hoping that they would be able to open up fairly soon as well. Joe borelli join us now. A republican on new york city council. He is chairman of president Trumps Campaign in new york. What do you make of this, joe . This is more of just america waking up to the hypocrisy of andrew cuomo. Whether sudden requirement to quarantine whereas only just a month ago he was threatening to sue the state of rhode island when its governor threatened to basically do the same thing while new york was at its peak. This is somebody who felt that trump didnt act fast enough on banning travel from europe, after he had already criticized trump for banning travel from china. I think it is him trying to stay relevant more than anything as people realize, more and more, that this emperor has no clothes. He promised these gyms and these malls they could be reopening soon. Now this is a real kick in the teeth to so many Small Business owners around the state. Connell thats the thing about Small Business i was going to bring up. He said they got some new information about how the infection spreads and you know, thats all part of this. I believe it was towards of the end of his news conference. I didnt hear him say it. I saw the headline. Obviously they will say the governors office, other people will say, hey, were trying to keep you safe whether shopping malls or gyms or these other states. I saw new numbers in florida, well over five thousand new cases in a day. That is the new record. Texas a little while ago, saying stay inside. There are spikes in some other states. Youre saying this is just not the way to deal with it . There are certainly spikes. And the common belief and the common guidance, if you are exposed to someone with coronavirus or you have symptoms, you should be selfquarantined. But however, just banning a whole bunch of people, especially with the case of florida where so many new yorkers have second homes, is just something that was so appalling to the governor himself just a month ago that im surprised he is going through with this. People are just not, theyre not seeing the common sense in all of the methods anymore. It is tough to explain to someone why they can go into a target or a walmart and go shopping for new sneakers but they cant go into their shopping mall. If the governor was serious, he wanted to help Small Businesses and keep people safe, they would make reasonable guidelines for things like malls and gyms to reopen. Connell, if you told me i couldnt go into the sauna in the gym because of coronavirus that would make a lot of sense to me. Telling people these things will stay closed indefinitely is not the right way to insure that the economic fallout of this crisis is resolved as quickly as we were able to resolve, to some degree the crisis itself. Connell im sure youre hearing the same. We talk to Small Business owners all the time. One of the questions that i have asked them over the last few months how long can you, sustain this . How long can you keep this going . And i you know as were coming up to the time at end of june, were right around the time many of them told us at the start of the pandemic i can make it through then. July 1st, it will be tough. Were right around that time. If were not starting to open up or were going into more shutdowns that will mean even more trouble for them obviously. Yeah. This is also coinciding when the ppe for most recipients is running out. So the government lifeline is not going to be there much longer. And when you talk about Something Like restaurants, theyre not open at full capacity. If they were open at full capacity, people felt comfortable going there, it would be a faster recovery. Again that is not the fault of the Business Owner but we need to be more cognizant and more aware that the economic fallout of this crisis for cities and state has were hard hit like new york is going to be as bad, if not worse than some of the actual physical and medical crises that we face. New york city, right now, is facing 10 billion in shortfall. That is because the economic engine of the city has just been shut off for three months. There is no way to just turn on a spigot and get that money flowing again and the sooner the governor realizes that, the sooner, he probably will make the state better off. Connell let me ask you this as a final question, joe, youre in city government. If someone came to you and you were just put in charge of it, how would you handle it . You said all the cases are up in state, x, y, z. People coming into new york. Ignore it, hope for the best or would you put in certain guidelines and not others . How would a mayor or governor joe borelli handle this situation right now if you were in his shoes . Connell, i would hold the course. Im not one of those people who think coronavirus and pandemic was not real. It was real. A lot of people in my neighborhood on Staten Island got very sick and died. Holding the course. Requiring people to wear masks. Requiring capacity limits at certain businesses. These are all good things. Selfquarantining if you have been exposed to coronavirus is also important thing. Contact tracers. A lot of the stuff were doing is on the right track. But it is going too slow and were too eager to just sacrifice businesses for this continued show of Governor Cuomo. It is too easy for him. He gets a paycheck every other friday. His check is coming on friday. My chick is coming on friday. I wish he would put himself in the shoes of more people facing economic uncertainty. I think we would certainly, certainly be better off. Connell all right. Joe, thanks, always good to see you. Joe borelli with us. In the city council in Staten Island. You too. Connell this is a pretty big announcement on the malls and gyms adding to what we told you people coming from other states quarantining for 14 days if they come to new york, new jersey, connecticut. We will keep covering it. For what it is worth the market came off earlier lows. We were down well over 800 points. Now the dow is down 660 points or thereabouts. A privacy briefing involving google. That and more as we continue. It is cavuto coast to coast. Well be right back. Dont go away. Yeah yyeah yeah hey, hey. Connell get off the subject just lightly of this market selloff and quarantines and Everything Else to talk about technology for a moment. Google, the Parent Company alphabet says it is increasing privacy controls ahead of big meeting set for friday on antitrust. Hillary vaughn has been covering this antitrust tech story for quite some time. Joins us from washington. Whats the latest on this, hillary. Reporter connell, remember big tech has been under fire for quite some time for how much information they store for users. Now google is doing something about it. The big headline from the privacy announcement this morning is this. New users will have their data auto deleted by default. Meaning, new users will have to opt in to have their location and activity data saved. The auto delete applies to location history, web activity and youtube history f you opt in, your location history and web activity will be stored for 18 months and deleted. You can adjust using. Existing users have the privacy intact. They will be reminded auto delete function exists. They can opt into that. Department of justices set to meet friday to discuss ongoing antitrust probes into google. The Virtual Meeting takes place on the backdrop much nationwide scrutiny of states attorneys general that open investigations into the country amid accusations that they have broken antitrust laws by using their dominance to crush the competition. Wall street journal reports that this meeting will include a discussion about and with state ags whether they shut should join the doj potential lawsuit and pursue own investigations into the company. Google continued to deny they have conducted anticompetitive practices giving us this statement. Quote, while we continue to engage with on going investigations. Our focus on creating Free Products that lower cost for Small Businesses and help americans every day. Two parts at the center of this probe, googles online ad business and their search function. Senator josh hawley along with democratic senator Richard Blumenthal asked the doj to look both. Hawley today gives us this statement, i called on the department of justice to include search in its investigation of this big tech monopolist. The evidence of anticompetitive conduct in Search Technology is striking and deserves scrutiny. Im optimistic doj will do its Due Diligence and come up with the facts. Google is facing more questions how they use their market dominance. Apple and amazon faces questions from regulators. To put it in perspective connell, how big tech has become. When you look at market value of facebook, apple, amazon, microsoft alphabet combined, that comes to 6. 4 trillion. That more connell, than the combined gdp of japan and mexico. Connell. Connell that puts it in some perspective. Hillary vaughn thank you. We know you will stay on the story. Friday is a big day. Want to shift from some of those companies to twitter because some conservatives are not thrilled with twitter. The latest came yesterday on a tweet put up by President Trump, there will never be a autonomous zone while im your president. If they try they will be met by serious force. By the afternoon twitter put a label on that, saying the president violated twitter rules about abusive behavior. Joseph pin joins us on that and little bit more. Your take on this . Not the first time there has been back and forth between the president and twitter as we know . Look, i think were witnessing the slow demise of a tech giant. Twitter has decided to inject themselves in a way politically that will be detrimental to their business and possibly detrimental to the value and trust of their shareholders. So i think if jack dorsey wants to go masquerading as an activist, maybe they should do what they knead to do is buy back the stock. It has only 25 billiondollar market cap, hovering around there. Because otherwise, i mean this notion that theyre going to enjoy the protections that are afforded platforms, that people can post freely, but choose to editorialize only conserve you tiffs like aoc printing fallacies every day is ludicrous. Connell you know it is interesting, from a business perspective which is what you brought up. I get the argument people make that the president puts some of these companies in a tough spot. There is some crazy stuff on the twitter account from time to time. Look at approach taken by facebook than twitter. That is different. That is acknowledgement of their business interests, we just dont want to make people angry if were facebook. Twitter never really took a stand like this recently and changed course. Well, look, i think again, if twitter decides if they want to have a fundamental shift in their corporate ethos, also in the Business Practices that is the right to do so. But at the same time they have to acknowledge that, not only to the shareholders but also as it pertains to the regulations that afforded them to amass that wealth in the first place. I think again, if you look what facebook has done to allow facebook more or less to remain this kind of open marketplace and open public square, if twitter again allows aoc to talk about the fact you can Fund Medicare for all with the spare change in the couch cushions at the department, at the pentagon, then certainly we should understand that, yes, go ahead and do that. Were going to have to treat you in kind. Because if youre not going to give conservative as fair shake, if youre going to pick and choose winners and losers on the platform, you dont get to have the protections from a business standpoint that allowed you to thrive in the first place. Connell joseph, breaking news from washington on another subject if you like to comment on it feel free. If you dont, fine. I mentioned moments ago in the senate, this is not a surprise the bill put forward by senator tim scott on Police Reform, that failed in a procedural vote. The democrats have the votes needed to block it. It would have needed 60 votes to advance in the senate. So they dont get there. This back and forth on Police Reform i guess continues. And i dont know if well get anything done or not. Do you have any thoughts before we go to break . Let me be clear. This is a bomb nation. This notion this is not about justice for black people. This is about electioneering for democrats in 2020. Go back to the Civil Rights Act of 1964, the most contentious period of racial disharmony in this nation. Somehow we found a way to get a Civil Rights Act passed to provide public accomodations for black people. Democrats talking about justice for george floyd allegedly, talking about justice for Briana Taylor whose killers roam free allegedly, with the most Meaningful Movement for justice, at a time no distractions, no circuses which canroll up our sleeves to get something on allowing great to be enemy of good. People are still at risk is ludicrous. I think that is why we should be able to talk about in stark terms this is not about reforming justice. This is about changing the name of the person that signs the bills. They dont like the fact that President Trump will be the one that would sign this into law, pure and simple. Connell joseph pin i dont know, we always appreciate your views. Thank you for coming on today. Also for going along with us on breaking news out of washington. Well have more on that to come. As i said it wasnt a surprise. We knew pretty much going in this bill would not get the votes. It did not. The procedural vote failed moments ago. We know the stock market is down on the dow at least by nearly 700 points after being down 800 plus earlier. Look at oil as well. We had the inventory report earlier. The oil price is off 6 1 2 . Busy day, much more to come. Well be right back. vo at audi, we design cars that exhilarate with versatility, whether on the track, or the everyday drive. Today, that philosophy extends to how we connect with you. We call it, audi at your door. Whether a remote test drive, shopping, tradein, or even service pickup, audi at your door can do this and more at participating dealers. The premium audi dealership experience, on your terms. Audi at your door. We could never do what they do. But what we can do it be a partner that never quits. Verizon is the most Reliable Network in america. Built for interoperability and puts First Responders first, giving their calls priority, 24 7. We do what we do best so they can too. Connell get back to the focus of this market selloff that weve been covering and many of the travel related stocks are certainly leading us lower today. The cruise lines for example, and we talked about the concern and spike of virus cases from states like texas and florida. Florida, by the way, was on the list that Governor Cuomo, governor lamont and governor murphy had of people coming into the tristate area in the northeast. If they do from a state like florida they would be required to quarantine for 14 days. Lets go now to the port of miami as phil keating is taking a look at that embattled cruise industry today for us. Phil . Reporter connell, speaking of the coronavirus positive test results, the state of florida just hit an alltime record with 5500 reported yesterday. Now here at the port of miami, it is the cruise ship capital of the world and there are seven large ships tied up today. They are refueling, resupplying. Then they will do what they do every time they come in. They go right back out to open water, drop anchor and continue a long coronavirus wait to resume passenger operations. The Cruise Line International association is now putting september 15th as a target date for ships to start sailing once again but the cruise lines are actually taking it further. Carnival is going to make it no cruising until at least the end of september. So very likely it wont be until october at the earliest when people can resume taking a cruise vacation. When the pandemic exploded and the cruise industry froze, billions of dollars have been lost in revenue and tens of thousands of cruise members floating day after day waiting to get home. The industry has gone from about 200,000 crew on ships at the beginning to now about 35,000. Bahamas, philippines, india, there are flotilla of dozens of ships out at sea waiting it out to get crew repatriated. There are too many ships, not enough port spaces. That is why theyre out in open water. Getting crew home, there are major challenges with them limiting entry and flights. They also had to send almost 100 ships to various ports around the world in order to get this crew home. Slowly offload. Slowly offload with the agreed upon numbers will allow cruise lines to offload each day reporter according to carnival corporation, that is the largest of all cruise lines, to this point we successfully repatriated 60,000 cruise members to their home countries with 20,000 remaining with this number expected to be reduces to 10,000 cruise members this week. We expect the process largely to be completed this month. Royal caribbean told us they have about 37,000 crew have been repatriated with almost 7,000 to go. As for the waiting crew, weve seen a few of them over the past couple days. The ones that are still waiting to get back to their home countries. At least according to the industry theyre not miserable and stranded. Theyre getting free room and board and every meal provide and can enjoy the ship amenities like the pool and gym. Connell. Connell you have to look at the bright side of things. Phil keating, port of miami for us. As we continue to cover what is going on in florida, as phil said another day of record cases, more than 5500 coronavirus cases reported in the state, you should see the overall statistics in florida, i want to point out as i mentioned at the top of the hour this is not all because of increase in testing. Is that part of it . Of course. But if you look at the stats from may 17th, the percentage of people testing positive in florida was 2. 27 . As of june, percentage of positive tests in the state all the way up to 14 . Now it does fluctuate. Anything over 5 the experts tell you should be a level of concern. Republican Michael Waltz congressman out of florida. What is your level of concern, congressman . Just to add to the statistics that you were mentioning in terms of Positivity Rate, i think it is very, very important for all of us to also talk about the fact that, yes number of cases are rising positivity is rising which i think makes sense as we open up and as we test more but the hospitalization rate is relatively flat. The death rate is relatively flat. If you look from midmay until now, when the opening began, that were in about the same place. I think it is worth remembering that the goal always was to flatten the curve, so that our Hospital Systems could get the equipment that it needs, that ppe, the ventilators, the hospital space and the beds and weve accomplished that. My real concern is that the left seems to be drastically moving the goalposts. Now you have new york Governor Cuomo talking about leaving malls and gyms and other businesses shut down and closed until we find a vaccine. It is not clear to me what he means by that. Connell right. Is he talking about discovering a vaccine, fully producing a vaccine. Getting it fully distributed. So at the end of the day what has me so upset these people making decisions are getting paid twice a month. These Business Owners are not. They cant sustain themselves. They have got to put food on their table. We completely moved the goal that we originally had in place here. Connell what can be tough about it, congressman, is the timing on this i get your point about that goal. Youre right, early on. We were talking about making sure the hospitals dont get overwhelmed. We knew it in the new york area. The numbers was that no, im sorry but the goal never was that we are going to shut down the entire country until. Connell right. Until we have zero infections. But that honestly, that seems to be what some leaders, some elected officials are talking about now. That is just not realistic. Sitting here in washington, we cant continue to print our way out of this problem. We cant continue to feed the entire country from debt spending. It is not sustainable. It is not a serious conversation. Connell i get your point. I want to make one other point, congressman, just before we run out of time. I was going to say the stat i saw was 75 of the hospital beds were occupied in the state. That a couple hospitals in Palm Beach County had no icu beds. I guess the larger point people would say, those indicators, hospitalizations and deaths can often be lagging from the cases, if you wait to react maybe you waited too long. Is that fair . We cant talk about florida or the country for that matter as this monolith i can thing. Florida as a state runs 70 in terms of its beds. If you have localities where you have hot spots, sure perhaps they take different measures but what we cant have one size fits all kind of massive is reactions. We have to allow people to get back to work. And importantly, individuals and Business Owners have to keep abiding by the guidelines or else they are going to get these drastic reactions and i think personal responsibility still needs to be a big part of the conversation. Connell understood. It will be. Well keep the conversation going. Unfortunately we do have to run now. Congressman, thank you so much. All right. Connell coming up well go to the jersey shore for a few minutes for a couple of ive connick nightclubs in that area are up for auction. That and more to come as cavuto coast to coast continues [ sigh ] not gonna happen. Thats it. Im calling kohler about their walkin bath. My name is ken. How may i help you . Hi, im calling about kohlers walkin bath. Excellent happy to help. Huh . Hold one moment please. [ finger snaps ] hmm. The kohler walkin bath features an extrawide opening and a low stepin at three inches, which is 25 to 60 lower than some leading competitors. The bath fills and drains quickly, while the heated seat soothes your back, neck and shoulders. Kohler is an expert in bathing, so you can count on a deep soaking experience. Are you seeing this . The kohler walkin bath comes with fully adjustable hydrotherapy jets and our exclusive bubblemassage. Everything is installed in as little as a day by a kohlercertified installer. And its made by kohler americas leading plumbing brand. We need this bath. Yes. Yes you do. A kohler walkin bath provides independence with peace of mind. Ask about saving up to 1500 on your installation. Connell continue to cover this mark set selloff. We look for a bright spot here and there with the dow down 650 points or thereabouts today. The baseball news Charlie Gasparino has been reporting on it is not perfect, charlie but we get to watch baseball this summer. Looks like well have a season. They will start spring training soon. They got it done last night. Listen it was touchandgo. The players waited literally to the last minute to begin negotiating the health and safety protocol that rob manfred and commissioner the baseball laid out. A lot of people in baseball thought they werent going to play ball so to speak. That they would be back to swear one because the players do have to approve the health and safety protocals. It turned out they are negotiating. It is going to happen. They are approving it. Well get a short spring training and well get a short season. Well get a north short enough season it will end in september. Dr. Fauci has been working with mlb very closely on health and safety protocals. Including his worry about a second coronavirus surge in the fall. He would like baseball to be over by that time. So that is what we have right now. We are having baseball. As we have baseball, we also have the business of baseball picking up. These will be fanless stadiums. Teams women lose a lot of money amid all this the mets are trying to shop themselves. We do have some exclusive information on this second new york, the second new york team, the mets. An nl franchise, one of the more valuable franchises because they play in a big market. Although the mets have been losing money in recent years. There is lots of consternation about the controlling wilpon family, whether theyre doing a good job running the team. They are now shopping it. They do have some set bidders it looks like that are trying to raise enough money or at least are weighing raising money to get in. Here are the bidders that we have so far. Private equity executives Josh Harrison and david blitzer. I think they own the 76ers. They have a private equity firm that invests in porth. Theyre apparently interested. The numbers being thrown around are Something Like two billion dollars. Alex rodriguez, a former yankee and his girlfriend, maybe soon to be wife, jennifer lopez, the actress, also interested in it. Theyre joining with, theyre likely to be joined, i say likely because it is not a done deal by former merck chair vinnie viola and michael rapoli who started franchise. Theyre likely in with arod. That would be that management group. A third one from what we understand is still in there, a little jaded, had experience with wilpons he didnt like, steve cohen, the Hedge Fund Billionaire the as they say still hanging around the hoop. If the price comes down to a level he wants, that he finds attractive you could then the third one is a guy you probably havent heard of much but they are big players in real estate. The Reuben Brothers of canada. Again, sniffing around. Lot of people think they wont do it. Connell they are playing your song. Sorry about that. I would like to talk more about the mets. Well be right back. Yeah yyeah yeah hey, hey yeah since your ancestors served in world war two. Many of their stories remain untold. Find and honor the veterans in your family. Their stories live on at ancestry. Wherever you make go, lexus will welcome you back with exceptional offers. Get zero percent financing and make no payments for up to 90 days on all 2020 lexus models. Experience amazing at your lexus dealer. Connell we continue here, moving into hour number two as this market selloff remains our top story. We are down by 600 points on the Dow Jones Industrial average. Good to be with you. Im Connell Mcshane filling in for neil today. Concerns about the coronavirus and cases spiking in a number of states, florida, texas, arizona among them, that started us off today. We were already lower, then we extended that drop after new york, new jersey and connecticut ordered visitors coming in from states that they deem to have a high risk, a high infection rate, for those visitors to selfquarantine for a couple of weeks. Thats where we start off the hour. Lauren simonetti has more from new york. Lauren . Lauren it was interesting, connell, the tristate area is just starting to reopen after a lockdown that was for months. As the number of cases here declines, the number of Coronavirus Infections elsewhere continues to spike. Take a look at the map that we are showing you right here. These nine states, washington, arizona, alabama, arkansas, utah, florida, texas, north and south carolina, will be hit with a travel advisory by new york, new jersey and connecticut effective midnight tonight. Heres new york Governor Andrew Cuomo. We are announcing today a joint travel advisory. People coming in from states that have a high infection rate must quarantine for 14 days and we have a calibration for the infection rate, and any state that goes over that infection rate, that state will be subject to the quarantine. Lauren so other states could be hit with this 14day quarantine as well. Take a look at this map. It shows basically half the country, connell, seeing a spike in infections. If you look at the red, the red as you can see in idaho, montana, texas, that signifies a 50 spike in the number of Coronavirus Infections. Orange is a 20 spike. Obviously this is bad news for the market, particularly for travel stocks. If you look at the airlines, whether its spirit or united or delta, down drastically. Even worse for the cruise lines. Many of them just moments ago were all down double digits. The hotels are down, too, and about a half an hour ago, i was at saks fifth avenue, about one avenue from where im standing right now. It was a grand reopening at their iconic Flagship Store and it was really quiet. The question is, if outofstaters cannot come to new york, new jersey or connecticut as easily, they have to quarantine, not go out and about, and tourists are a third of some of these luxury businesses or any business, when you think about it, it really keeps a lid on the recovery that we were starting to see. Connell especially that area where you are now, whether its rockefeller center, times square, fifth avenue, so reliant on tourism. Lauren, thank you. Lets switch to the white house where they are obviously monitoring all of this and also a couple other stories that we are focused on there as well. The dow, by the way, has come off the lows of the session. We were down well over 800 points earlier on. Those other stories, the National Security adviser has a big speech on china today that we are going to monitor, but blake burman, i guess the lead from the white house perspective is that the president s welcoming in a world leader today for the first time in quite awhile. Reporter indeed. This is the first time in several months President Trump will be hosting his counterpart from poland this afternoon. This will be the very first facetoface meeting between President Trump and a world leader here at the white house since the covid19 outbreak. There is going to be a press conference in the rose garden later this afternoon. We believe that typical two questions for each side setup which would lead to hopefully maybe get some impressions from the president as to what is going on here in washington, d. C. Among many other potential topics. I bring that up because here in d. C. , hundreds of National Guard members from washington, d. C. Are now protecting monuments within this area. I can tell you there was a noticeable difference when i came into the white house today, today versus what we have seen in the weeks leading up to this as it relates to gating around the monuments. We are expecting an executive order from President Trump this week regarding all of this. He keeps talking about harsh prison sentences, citing the Veterans Memorial preservation act. Here was President Trump yesterday in arizona talking about all this. Ive also made clear that any rioters damaging federal property and defacing our monuments will face severe and lengthy criminal penalties. Ten years. Reporter you mentioned National Security adviser robert obrien. Hes in arizona today. I am told he will give a speech in which he will hit hard against china. What is interesting here, you will remember in the past the white house has often reserved this to the Vice President , mike pence, leading into the trade deal. He was the one when things sort of got tenuous with both sides that would deliver the tough talk against china speeches. Now today, the National Security adviser, i am told, will be doing something very similar. Connell . Connell interesting. That is interesting. Youre right, it had been the Vice President but i guess you could argue hes wrapped up in a number of other issues right now. We will watch that speech later today. Thank you, blake. Blake burman on the north lawn. Meantime, lets speak to Danielle Dimartino booth, former fed adviser, about what we have been seeing today. As we start off our conversation, could be worse. We were down 800 points on the dow. Now its under 600. Still, this concern thats out there on these types of days, i mentioned earlier we had that day when we sold off by 1800 points, now we have another down day, is the spike in virus cases. Then you know, we could come roaring back tomorrow or the next day and its not like that concern goes away but how do you make of how investors are managing all this . I think right now, the disconnect between economic reality and whats been happening in the stock market is starting to close a little bit, that gap. That was really to be expected as we have seen one headline after another, whether its houston icus are at 97 of capacity or you are seeing reservations in a lot of cities that have been opened up, atlanta, dallas, houston, phoenix, you are seeing reservations come back down because whether by force or by choice, a lot of concerned people in these areas are choosing to shut back down. Thats going to have a real economic effect if we see a second wave, if you will, of reclosing activity and as you were just as lauren was just detailing, you are also going to take a hit in terms of tourism and travel within the united states, as we see some of these restrictions start to pop up. So these will iven tanevitably reflectd in the stock market. Connell that disconnect you reference between the real World Economy and the stock market, it seems to me a lot of that had to do with actions taken by the Federal Reserve. Are you just saying theres really only so much the fed, you know, only so much the fed can do . Well, its been all over my twitter feed all day long, that the fed is going to come in and buy stocks any minute now. It certainly wouldnt surprise me when the fed tends to make these emergency decisions, its usually around jobless claims, thursday morning when that comes out, we have seen a very stubbornness in continuing claims, the percentage of americans collecting whether its through the cares act or through traditional state Unemployment Insurance programs, its 17. 7 of the country thats down a bit from 18. 1 , but again, thursday mornings are becoming problematic once again as companies are hesitant to bring employees back on and we are seeing some layoffs become more permanent in nature. Again, anything could bring the fed off the sidelines, but the one act that they have got to follow this up with since they bought so much already is flatout stocks. Connell they did, and you think that will happen . I know you say people are talking about it or tweeting about it but you think they will actually do it . Well, in one sense, its a step on the risk spectrum. Junk bonds are technically more they are technically more risky than stocks. It wouldnt be a big leap for the fed to say we are going to take a slightly less risky move by coming in and buying stocks. We saw overnight that Carnival Cruise was downgraded to junk, the second downgrade made it officially a junk rated company but the Federal Reserve can come in and buy carnival bonds anyway through the program thats set up at treasury, because that is part of the provision. If you have been downgraded after march 22nd its still fair game for the fed to come in and buy these really really bad Balance Sheet companies. Connell danielle, as always, thank you. Especially for your analysis of the Federal Reserve. Danielle dimartino booth with us. Next up, dr. Cecil staton from the Asian American hotel association. The president and ceo of that group. You know, we were just talking, to pick up sort of on danielles point there about travel, you know, its fairly obvious its a tough time. You add to it this talk between the u. S. And europe, more tariffs, more travel restrictions being put in place, what report card or what kind of overall view would you give of things right now . Well, its good to be with you. Im proud to represent 20,000 members, first, second and Third Generation americans living the american dream, creating businesses and jobs, but yes, we are in a very difficult moment, perhaps the worst moment for our industry, the hotel industry, in our lifetime. Our members are reporting occupancy rates at their lowest in the single digits, they are beginning to pick back up just a little bit, but all of these new outbreaks we are hearing about, which is in reality, i believe, could really just be we are hitting the peak as opposed to new outbreaks but nevertheless, they are having an impact and so do restrictions on travel obviously from other countries. We are hopeful, though, there may be a little bit of a silver lining. If americans cant really travel, perhaps they will do a little bit more domestically through the rest of the year if we can rebuild some confidence and get the economy opened up and more people on the road traveling again. Connell whats the argument youre making or kind of lobbying that you are engaged in with governments, whether foreign or our own governments or even local governments because to your point, if europe says you cant come here, then we try to move within our own country but as you note today, the announcement, new york, new jersey and connecticut makes that a little bit more difficult for people coming into these states from certain areas, and who knows, there may be more of that kind of talk to come, so what argument do you make to government leaders . What are you telling them they should be doing to manage their way through this . Well, connell, one of the issues we are very concerned about, of course, is the debt that our members carry on their major real estate investments. You know, again, they are facing a huge liquidity problem because of this. The restrictions you are referring to only make that worse potentially in the short term. But it points to the Bigger Picture. Our members have been trying to deal with their lenders, their bankers, to get forbearance because really, they are Small Business people. Theres no way for them to do what they have to do every month to keep the lights on, make the payroll and make that big mortgage payment. Fortunately, a lot of banks have been given some regulatory relief and we have seen a lot of forbearance but theres another segment of that we are very concerned about and im very appreciative of a hundred members of congress this week signing a letter led by congressman dan taylor from texas to really talk about a segment of commercial mortgagebacked securities, a market that very few people understand, but its where a lot of the loans of hotels and other businesses end up. They are bundled together, they are sold into bond funds, pension funds. Its a very rigid system. We are beginning to see a lot of indications that theres going to be delinquencies, there are going to be foreclosures. Thats going to lead to a continuation of this economic downturn across our country. Its not going to help us as we try to get people reemployed or get them back into their jobs. There are ripple effects for that. Connell bankruptcy, right . Absolutely. So we are seeing in this 560 billion commercial mortgagebacked securities marketplace, you know, we are seeing delinquencies now up to about 20 of the hotel space and its about to hit record levels in terms of the overall marketplace for these securities. So it can impact pension funds, it can impact the bond funds that hold these mortgages. We are really asking the congress, secretary mnuchin, and chairman powell, to give us some regulatory relief to come into this marketplace so that our members and other Small Business people around the country can get some relief and some forbearance that will allow them to hold on and thats a huge issue that if not addressed, is going to lead to some very serious consequences in the months to come with these things continuing to inhibit travel around our country. Connell very tough time in the industry. Dr. Cecil staton joining us, thank you. We wish you and all your members all the best. We will certainly continue to cover it as we continue to cover this market selloff. Down 600 plus on the dow. Little bit off the lows of the session but still significantly lower today. We are looking for some bright spots. You may have heard the story about starbucks launching an impossible foods breakfast sandwich. I guess its still a pretty good time in the old plantbased food industry. We have the ceo of impossible foods coming up next. announcer reliability is everything. So, if your networks down, youre down. Verizon knows your customers need to reach you seamlessly. Your team needs to work from different places across many devices. Plus, you want the security trusted by some of the Largest Companies in the world. And thats why you trust us. The most Reliable Network in america. 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. Connell we have a market selloff under way, certainly news coming in on amazon as that stock has done very well this year. Its formed what is calling a counterfeit crimes unit. This is an internal unit, the idea is to fight back against knockoff products that are sold on amazon. Com. Its looking to show its customers and also the government that the legitimate retailers as well, that it is being tough on this type of crime. Ecommerce crime. So an internal unit formed by amazon announced today called the counterfeit crimes unit. Again, amazon has been one of the winners in everything we have been going through stock market wise, up nearly 50 this year. All right. Speaking of winners, pat brown is the ceo at impossible foods. Starbucks just launching that impossible foods breakfast sandwich you probably heard about. Starbucks stock price off a little bit today. Boy, i felt like pat, good to have you on the show, we did a story about plantbased foods just about every day of the week before this pandemic hit. Maybe its a good sign we are back to talking about it. First of all, tell us about this deal with starbucks. Yeah. Well, we Just Launched a breakfast sandwich with starbucks, impossible breakfast sandwich, yesterday. And so far, just anecdotally, its been selling great. They have already sold out in a few stores that i have heard about, and so we are now in 15,000 starbucks. Last week we announced launching the impossible croisandwich at burger kings 7500 stores. Basically we have gone from just announcing the sausage product and very small scale sales to 22,000 outlets in two weeks. Connell so the stories we were doing that i referenced a few minutes ago about your industry beforehand were almost always the same, that demand was going up, theres more and more demand for these products and other companies and restaurants, whether its starbucks or others, were adding the products. Now the pandemic hits. What impact, if any, has it had on demand generally speaking for plantbased foods . Has it had an impact . Well, certainly its had an impact on what channels consumers are using to buy plantbased food just like Everything Else that Restaurant Industry is still somewhat impacted, people have shifted quite a bit to online ordering and retail. We have moved our business very fast into retail. We went from 150 to almost 5,000 Retail Stores in the past two and a half months. And so we are now available nationwide and i think thats part of whats going on is that not only has the consumer interest in plantbased products been skyrocketing, as they become more and more aware of all the issues around animalbased Food Production with all the news about slaughterhouses and so forth, and theres much more awareness of the Environmental Impact of animalbased Food Production. But at least for our product, the availability has vastly increased. Not only are we now nationwide in Retail Stores as of the past couple months, we just three weeks ago launched a directtoconsumer sales channel, within 24 hours we had orders from every state in the united states. Thats doing really well. And we found at impossible foods that availability in trial is the magic ingredient. A large majority of our consumers are meat eaters and a large majority of them, once they try our product, become repeat customers. Theres a positive feedback effect thats also driving the demand. Connell i wonder what your perspective is on the economic recovery and you know, how much costs have to do with whether people are getting into plantbased foods. We have had this debate now for weeks, if not the last couple months about whether its vshaped or whatever shape you want to use about how this economy bounces back. Whats your take, whats your perspective . On the bounceback of the economy . I think until we have better compliance, Better Public Health measures, and better compliance with those measures, i think i dont see the epidemic going away any time soon. I think its really up to, if theres enough political will and compliance among citizens, we can solve this just like many countries have done and get it practically back to baseline but i dont see that happening in the near term, unfortunately. And i think as you i think alluded to, covid has had a particularly disruptive impact on the supply chain of animal based production and driven up costs and caused shortages and thats definitely raised consumers interest and attention to plantbased meat products. I dont see that going away. Like i say, we have, for our products, once a meat eating customer tries our product, a large majority of them, more than 75 , become repeat customers. So i think this is not going to go back to, you know, business as usual for the meat industry. Connell all right. Pat, thank you for all that perspective. Pat brown, impossible foods. Congratulations on starbucks, Everything Else. The ceo there joining us as we continue on cavuto coast to coast we just received word the governor of connecticut, necessitatned lamont, he involved in one of our top stories, he and the governors of new york and new jersey making the announcement today that if you come into their states from a quote unquote, high risk state, you will be asked to quarantine for 14 days, the governor will join us live here in just a few minutes. So we have that plus Grady Trimble is working on a story out in chicago. Whats coming up . Reporter connell, the crowd is growing here. All of these people want to get cops out of chicago classrooms. This event organized by the Teachers Union. I will tell you who they would like to replace police with coming up. Connell we will have the governor of connecticut in a few minutes but let me get back to Grady Trimble and that story he told you about in chicago with the School Board Vote on ending the contract with the police. Grady, whats the latest there . Reporter well, this is a big rally in favor of getting cops out of classrooms in the city of chicago. This city could be the next to go the same way as seattle and denver to rip up their contract with the police department, which right now provides 150sros to Chicago Public schools and well, i guess we will start walking because the march has begun, connell. But the School Board Voting on this motion today and part of that motion says theres a welldocumented history of police misconduct, abuse, violence and disregard of Human Dignity and black life. The presence of police in schools serves as an entry point to the schooltoprison pipeline and disproportionately harms black and indigenous and latinx students. It is worth noting that while many of the people here are teachers, part of the Teachers Union who support this, the mayor of chicago does not. Neither does the head of Chicago Public schools. They say it should be up to each individual school council. However, it is up to the school board and they are voting on it or expecting to vote on it today. Connell . Connell grady, thanks. Grady trimble live with that story in chicago for us. As we shift to technology, the selloff of the stock market is accelerating once again. Certainly the nasdaqs eightsession winning streak is in bigtime jeopardy but it has been quite a run after many of the tech stocks, so much so as they hit new highs, the top Six Companies in technology are now, when you look at their market cap, as big as our trading partners. Think about it. The market value of facebook, apple, amazon, netflix, microsoft and googles parent alphabet comes out to more than 6 trillion, right around the combined gdps of japan and mexico. We bring Jeremy Caplan in on this. This is a doubleedged sword because the bigger you get, the harder they want to come after you. We are seeing some of that in washington. Exactly. The bigger you are, the closer the scrutiny and the government is very quick to take a look at a company, of a certain scale. Now, the question here is are they taking a look or are they going to actually do anything meaningful, because historically, we have seen a lot of antitrust probes especially into the Technology Market that have sort of fizzled out. If i were to put my skeptics hat on, say what is going to come out of this, i would say i dont know much is actually going to come out of it. Connell interesting, microsoft of course had its runin in the 90s with the regulators and the justice department. As we talked about last hour, theres the big meeting friday with doj officials and some of the state attorneys general, they are going to talk about the probes into google and its Parent Company, alphabet. You are saying that thats just talk, and at the end, you would be more than comfortable investing in that stock . Personally, i dont invest in any technology stocks. Kind of crossing a line for me. But what we have seen historically has been a lot of investigation and then ultimately, some small fines and huge to you and i but to a company like facebook and microsoft, a drop in the bucket. If we see the outcome that i would see coming from some of these things is probably going to be more of the same. Unless there is some revolution that goes on in washington which changes around the aspect of these cases. If, on the other hand, they actually do something and take some action, we as consumers could see some very meaningful change. Take the google stuff, for example. Theres a lot of different aspects of googles business that could potentially be labeled as antitrust, whether its the fact that android is 80 of the phone market, whether its the advertising, whether its the way they bought up Smaller Companies to prevent competition, its very clear there could be things that could be done about that, breaking up a giant company like that, for example. But the government has been very reluctant to actually take actions like that against technology companies. Especially when you think about the fact these are some of the biggest employers in the country as well. So its really tough to see where the governments going to land here. Connell it is interesting, that part you are getting at there, when people see these headlines, they sometimes automatically assume that you go after tech companies, thats bad for tech but its the distinction between big tech and smaller kind of Startup Companies because many times, as you know, its those companies, they want to see the big guys fall or the big guys be taken down. One time they were probably small themselves, many of these, as we know, companies started off in garages in Silicon Valley but wiare behemoths now. Are there companies or places in industry you could see benefiting from all this down the line . Well, the big one in my eyes anyway is google. If you look at what google has done, just look at the dominance of google when it comes to the internet. Theres been a steady stream of complaints over the years against google and what theyre doing in terms of sorry, im distracted there in terms of the amount of information google surfaces on the internet. They take information from a lot of people and replicate it in a way that prevents people from going to the websites of Smaller Companies. That feels kind of like an antitrust situation. You no longer have the need to go to a yelp, for example, because you can because you see that information directly on google. Theres a lot of Smaller Companies that feel that way. So if the government could change around their practices and say google, you cant do stuff like that, that would have a very Material Impact on a lot of smaller businesses. Will the government actually take action like that, however. Connell i thought i actually, my next point to you was going to be that some of these companies, all of them, really, they have benefited so much from the stayathome craze we are all in and you just about did a commercial for it in your house, i thought you were about to have lunch. That was my wife. Shes about to have lunch. Exactly. Yeah. So connell good to see you. The other point i would like to make connell go ahead. What i have been seeing, i think the employees at some of the Big Tech Companies have been very vocal about the need for change. We have seen a lot of people across this entire country standing up and taking a stand, saying we believe in this, whether its civil rights, whether its the power of technology companies, et cetera. I think the power of these individuals within these companies is a lot more likely to impact change in the sthohor term, because of how long it takes some of these antitrust actions to take place. Lets see what these employees can do. Connell fair. We will watch that very very closely. Jeremy, thanks. Jeremy kaplan, digital trend editor in chief. Cameo to his wife there as well. Thank you for coming on today. As we continue, the selloff has accelerated. Down almost 3 again on the dow. Much more to come. The governor of connecticut will join us and we will go to the jersey shore, where as i understand it, Kristina Partsinevelos has a couple iconic nightclubs in the news. Whats coming up . Reporter you have bankrupt nightclubs made famous by jersey shore. Im Kristina Partsinevelos in seaside heights, new jersey. Coming up, we take a look at the uphill battle for commercial real estate. Usaa was made for right now. And right now, is a time for action. So, for a second time were giving members a credit on their auto insurance. Because its the right thing to do. 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[announcer] if youve bought gold in the past, or would like to learn more about why physical gold should be an important part of your portfolio, pick up the phone and call to receive the complete guide to buying gold, which will provide you important, neverseenbefore facts and information you should know about making gold, silver, and platinum purchases. If you call right now, you can also receive a copy of our new u. S. Gold report for 2020. Inside, youll find the top 25 reasons why you need to start owning gold today. With nearly two decades in business, over a billion dollars in transactions, and more than a half a million clients worldwide, u. S. Money reserve is one of the most dependable gold distributors in america. Connell as we come back, a couple of nightclubs that may look familiar to people who watched the Television Show the jersey shore years ago, they go up for auction today. Kristina partsinevelos back with us from seaside heights, new jersey. You were just saying this story is really about commercial real estate, right . Tell us more. Reporter right. Not necessarily about jersey shore because i know you can list all of those characters. Right now, im standing in a property that did file for bankruptcy and was put on the Auction Block after a postponement due to the corona lockdown. These two clubs, karma as well as the bamboo bar, they were made famous by mtvs jersey shore. You got mike the situation that came in here, snooki, they filmed a lot of scenes. The situation with these two bars is they came under scrutiny for underaged drinking, noise complaints, problems with renewing their Liquor License which is why they were put on the Auction Block. Unfortunately, though, thats the Bigger Picture here, only eight people showed up to bid on these properties. The auctioneer was going ahead with it and even said am i doing something wrong because no one wanted to put that 1. 5 million minimum bid. Finally somebody raised their hand for 1. 2 million. Big picture, though, this could be a prelude to the uphill battle faced by the commercial Real Estate Market as a whole. We are in seaside heights, new jersey, beachside town. The boardwalks are open but most restaurants only have some outdoor dining. None of the arcade games are open. Gokarting isnt open yet. A lot of businesses around the area are concerned about the extremely high property taxes that they have to continue to pay and the fact that tourists just arent here yet. So they are worried about sustainability. The reason why we came to see these vacant nightclubs once made famous by jersey shore, mike the situation and snooki, i know you know a lot about them, is to point out the uphill battle for a lot of commercial Real Estate Properties and starting in new jersey. I will throw it back to you. You, too, can get that tan the situation has because its nice out today. Connell yeah. I painted it on this morning, as a matter of fact. Thank you, kristina. Kristina partsinevelos there in seaside heights. Reminds us of summer, if nothing else, down the shore. In a moment, as we continue, one of the alerts we got from here in new york earlier was that the new York City Marathon which they were supposed to hold on november 1st, i believe, will not be happening this year. The marathon has been canceled. Called off. The governor of connecticut, ned lamont, involved in one of our top stories today, teaming up with two other governors to put in place a quarantine for people coming in to his state from high risk coronavirus states. The governor joins us next. We will get the how and the why. Dont go away. Well be right back. 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. Connell the market selloff today seems to be driven by this acceleration in coronavirus cases around the country. Then we have the governors of new york, new jersey and connecticut telling travelers coming into their states they should quarantine. Before we talk to the connecticut governor, ned lamont, live about that, lets bring in Ashley Webster with the very latest. Ashley yeah. Well, lets start with the markets. As you say, i mean, the headlines have been not so great for the investors psyche when we continue to hear about the resurgence of the virus and as you can see, the selloff certainly has been broadbased. Certainly those economically sensitive stocks under pressure on the dow losers, boeing and the aircraft industry down, walt disney, exxonmobil, the energy patch is down. They are all down. Raytheon technologies, all laggards today. We can take a look at the s p as well. Look at those stocks that have been dragging along this morning in this session and into the early afternoon. Royal caribbean, the cruise lines, again as you can see, down 11 . Both carnival and royal caribbean, wynn resorts, another energy stock, diamondback and simon property, the mall operator, all of these of course hit again by the thought that perhaps we are seeing a second wave or certainly resurgence of the virus. Lets take a look at whats been going on around the world. We can tell you over nine million cases have been reported around the world, close to half a Million Deaths as well. When we look at the map of the united states, where we are seeing spikes in covid19, certainly to the west and south, as you can see. Especially in arizona, texas, montana, idaho, oklahoma, georgia and florida. We have also seen some single day highs, some of the records being smashed as you can see in these states. California, nevada, arizona, again, those southern states, texas, we know, we have been talking about for the last several days, louisiana and georgia. Now, interestingly, the epicenter of covid19 for so long has been new york city but we have seen in the last 24 hours, new york reporting its lowest hospitalization rate. Also the lowest numbers of deaths. Those are encouraging data. Lets listen to the governor of new york talking about those latest numbers. Take a listen. All the numbers are good. What were doing works. Our approach has been vindicated and the phased reopening by data works. I said from day one i think these states, this theory of handling it politically, that people had a political theory of how to deal with the virus. Ashley again, with the numbers improving in new york and those areas that were the epicenter, now weve got this quarantine in place for people coming from socalled hot spots into new york, into new jersey, into connecticut. Just playing it safe, asking these people to quarantine for 14 days. Back to you. Connell ashley, thanks. We bring in the governor of connecticut, ned lamont, with more on that right now. He joins us by telephone. Governor, we certainly understand and ashley made those points about the numbers improving in our area, new york, new jersey and connecticut. You want to keep that improvement going. Do you risk the economic recovery, though, in putting in place these quarantines for people coming in from high risk states . On the phone no, i think just the opposite. Thankfully, our region, new york, new jersey, connecticut, rhode island, massachusetts, have been following the protocols, social distancing, our numbers are way down, less than 2 positivity, and what would risk the economic recovery would be if we allowed a spike to happen and as we know from six months ago, the virus came in by jet. So we want to be very careful about the people coming in from very highly affected areas, at least have them take a test or quarantine before hanging out here. Connell yeah. We saw the reverse as you know early in the pandemic, at least for people coming to new york, state of florida, they were asked to do something similar. Is that what youre doing, asking them to do it . How will enforcement work . Or is there enforcement . What we are going to do is every single airport throughout our region, people will be noticed these are the rules, you must selfquarantine if you havent had a test within 72 hours, Something Like that. We are going to notify hotels and airbnbs that these are the rules so that people will know what the rules of the road are and follow them. Connell so say someone in your state, in connecticut, has family in one of the high risk states and just as an example wants to go to florida or one of the other states but they travel to florida during this period, then what happens . They have to come back and then they quarantine, right, for a couple weeks in their own homes . Is that how it would work . Yep, thats right. If you go down to southern florida which can have a very high infection rate there, and you come back, either get a test to make sure you test negative, or quarantine for a period of time. Because thats the only way you can keep your Community Back here in connecticut safe. Connell do you have any idea how long this will last, or how many states might be added or subtracted . You have some methods, right, for adding or subtracting from the states on the list, metrics youre looking at . Yeah, we do, connell. Its a Positivity Rate, that means the percentage of people tested who test positive, if its north of 10 , then we would like you to quarantine for the 14 days. Well evaluate that every week. I mean, arizona and florida were quite a bit below that 10 just a few weeks ago. So i would like to think that they will be getting back down again soon, be able to fly back and forth. Connell so that is a more important number, that Positivity Rate which i believe the experts say anything over 5 s a little risky. You are putting it at 10 . Thats more important than say hospitalizations or even deaths which can be a lagging indicator, i guess, as we learned in all this, thats the most important figure for you guys . It is in this case, because as we are looking at some places, you know, southern florida, phoenix, theres a Positivity Rate thats very high. Its even high among 18 to 35yearolds. Thats whats new. Its not just relegated to the Nursing Homes or correctional facilities. There is some Community Spread there. Thats why we are all being very careful. Connell where are you in the economic recovery . You made your argument earlier, articulated that you think by shutting down now, you can actually help yourself economically long term. Not shutting down but putting this quarantine in place. I guess avoiding another shutdown. But how are things going in connecticut . I mean, you are opening back up now and i go back to my first point that you could have people maybe coming in, maybe this is more of a case in new york where tourism is a bigger deal but people might slow that down if they are not allowed to come in. Connecticut, we kept most of our economy open throughout, manufacturing, outdoor construction, which many other states did close down. At this point we have had a couple phased reopenings so we have about 95 of our economy is up and operating. Maybe bars and discos, nightclubs are not yet there. But not everybody is going back. We have indoor dining, our offices are sort of 50 capacity. So we are slowly moving back to a new normal. Connell but you have gyms open, right . What about the shopping malls . Governor cuomo in new york said we might have to wait until theres a vaccine for gyms and shopping malls. We have our gyms open at 50 . Wear a mask so thats a little complicated. Our shopping malls are open. Again, everybody is wearing the mask and here, you know, because we were hit pretty hard going back a few months, and a lot of people know somebody who died from covid so people are being pretty respectful about wearing the mask, so forth. Connell governor, thank you for calling in. Its a big story today. New york, new jersey and connecticut. Ned lamont, governor of connecticut. Well be right back. 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Im charles payne, making money now, the biggest swoon many thought would end the rally but the market bounced back. Covid19 dominating headlines. But there are challenges in this market you should know about. Im seeking answers from some of the best in the business and if any are looking to buy this dip. President trump welcoming to the polish president. Were expecting the president to speak in 20 minutes. Well bring the comments live when we get them. Will americans get another