Transcripts For FBC Varney Company 20170531

Get on with it he says. He wants health care and tax reform passed quickly. Despite the negatives and the problems the dow will go up again. Politics and money, thats what we do. Varney company is about to begin. Back to the news thats developing and breaking as we speak. There are reports that President Trump is going to pull out of the paris climate deal. Ashley, do we have anything more than hes likely to. Ashley well, we do, were told by according to sources that theres a small Team Including the epa administrator working on the detail. Two options that the Trump Administration could use here, one which would be much faster, and far more extreme to exit the underlying the Climate Change treaty. They do that, the u. S. Is out period, out of everything. Or they can initiate from the Paris Climate Accord, they say it could take three years to disentangle. Stuart this is the paris accord. Ashley if you want to draw it out for three years, you withdraw from the paris accord, you could do it quicker and cut the cord and withdraw from the climate treaty with the u. N. Stuart liz peek is with us, what does it mean for the economy and market, if anything at all. The reason we would pull out, and the green gale, the holy grail. Others were willing to do that, germany, deciding they would never engage in fracking and uncovering natural gas. We dont want to do that. Stuart is it a plus for us, withdrawal from the paris is a plus for us. And Trump Supporters expect him to do that and i think theyll be thrilled. Stuart with that in the bag, where is the market opening . The and is, ever so slightly, dow futures up 30odd points, still above that 21,000 level. Ive got to take a look at the big tech names, we stress this all the time. Theyre close to or at alltime record highs. Microsoft a smile on your face. Stuart im allowed to smile. Ive owned it for 20 years. Ashley like the chesire cat. Stuart now, liz, dare i say that some of these fabulous five, beginning to look a bit like the dotcom bubble . Well, look, what theyre banking on Enormous Growth rates, the expectation for amazon, for example, is five year growth of 27 a year, thats really extraordinary. As a result, the p. E. Multiple of this, which i know is technical, is like 149 times this years earnings. These are enormous valuations, but there really is no other growth game in town. And this is where the Creative Destruction is taking place next to our economy and amazon in particular has any number of industries that they have not yet ventured into, like fashion. Which is what theyre talking about next. They have a lot of opportunities and i think that thats what investors are giving credit for. Stuart let me get to another number without the buzzer. The price of amazon, 149 times greater than their profit that they will make this year. No, 149 times this years profits. So its less on a next year profit. Because of the Earnings Growth is pretty substantial, but thats a big number. Stuart its a very high number. A very big number. Stuart looking toppy. Not much room for error. Dont say that, and the error lets leave it at that. The president wants the senate to get rid of the filibuster. His tweeted coat. The u. S. Senate should switch to 51 votes immediately and get health care and tax cuts approved fast and easy. Dems would do it, no doubt. The republican of utah says not so fast, roll tape. I have great concerns about getting rid of the filibuster, because we would have had sick single wayer by now, and we would have gotten things if we would have gotten rid of the filibuster rule. He says dont get rid of the fast tax. Stuart that probably means hopes of a tax cut or health care this year are fading fast. Expectations are down. Apparently in las vegas, the word is no one is expecting tax cuts and investors are saying, were buying stocks even so. Theres a lot behind the headline items of tax cuts and health care reform. Basically, our deregulation agenda and other things that are positive for Earnings Growth and stimulating our economy, but it does seem like the legislative program is really sluggish and trump is frustrated. Why blame him. Despite our exhortations. Exactly. On this program. Stuart on this program. Lets see what weve got now. Senator mike lee, by the way, will be joining us on this program about 30 minutes from now. Next case, this is interesting. A minneapolis transit cop was fired after asking a suspect if he was in the country illally. All rise, judge Andrew Napolitano is here now. Fired for answering a question. Fired for asking a question. Stuart asking. Right, it seems awfully harsh for me. Does the Minneapolis Police department have the right to order its cops not to go near the immigration issue . Answer, yes. Theyve decided to Public Policy reasons if victims are crime who are Illegal Immigrants think theyre going to have their status asked about, fear having their status revealed, they wont report a crime. Whats a policy decision that the Minneapolis Police department can make. Ive never heard of firing someone for asking a question, i would have to see his personnel report to see if this happened before, to see if there were other reasons that contributed to the firing, but on its face it seems awfully draconian and a harsh way to enforce a controversial rule. Im beginning to wonder if the pc movement has reached its peek. When you fire a cop for asking a question, you have to ask, has the pc nonsense gone too far . So, if this were in texas where the law is 180 degrees and the cops are required to ask the question, he would be fired for not asking the question. I mean, that is and if you want to do that go there, if you want to live in dallas, do the opposite and live there. I want to do this for you. On a somewhat unrelated issue, Kathy Griffin has apologized with the photo shoot with the floodied trump mask and she says she went too far and President Trump responded with a tweet. Kathy griffin should be ashamed of herself, my children, especially my 11yearold barron are having is hard time with this. Could you look at that as a threat to the president . If you look at it as speech, its repellent. If you interpret is this woman is suggesting to others this ought to be their goal with the president , i dont blame the secret service if they engage in minimal inquiry. To think that Kathy Griffin is a threat to the president , i dont think so. Shes not a threat to him politically or personally. This is very difficult it look at, turned my stomach when i saw it for the first time and the president is absolutely correct in condemning it. One should condemn it, no matter of whom it was, it was a depiction. Stuart let me finish with this, you fire a minneapolis transit cop for asking a question. Youre going to connect these dots. Stuart are you going to fire cKathy Griffin for holding this up. Who employs here. Stuart cnn. Up to them. Stuart you can be fired for asking a question, should you not fire her for what she did. It depends if what she did is in the interest of her employer. I cant imagine if its in the interest of cnn or of the resisters, which hillary and bernie are part of after the commencements speeches, to do something as horrific as that, under the First Amendment, my dear stuart, its protected speech and government cannot harm a hair on her head. Stuart then i have no further comment on this with you. [laughter] am i back at the 11. Yes, you are. Lets do the math in 19 minutes time, up 36 points on the futures, all indicators on the up side. Despite the stuff going on in the background. Same old story. Terrorists have carried out a suicide bombing in afghanistan, kabul. At least 80 dead, hundreds injured. The attack carried out at the height of the rush hour. More details coming up. The u. S. Military carrying out a successful test of a defense system. A show of force to show north korea we can shoot their missiles out of the sky. Were on that one, too. A very sad story. Were getting new details on tiger woods dui arrest, the car was damaged tires blown out and well have more when its released, well be back. Now, this is more bricks and mortar trouble. This time its michaelkors. We call the democratic luxury. Theyre going to close between 100 and 125 stores and they lost money in the latest quarter and that stock is going to open up with a loss of about 8 1 2 . Thats a big drop. Look at j. Jill. Raising its forecast and shares will be up at the opening bell. Will someone get in my ear and tell me what does j. Jill do . Silence. Ashley cricket, cricket. Stuart a womens retailer. Ashley there you go. Stuart thank you very much, ladies and gentlemen. Now, theres more on this, bricks and mortar disaster. Liz peek is here. Whats new york citys mayor, bill deblasio doing with the bricks and Mortar Stores in new york city . This is unbelievable. Up and down lexington avenue and madison avenue, stores are closing in the droves. Id say in some blocks, twothirds of the stores has closed in the last two years. What has deblasio done requiring employers of fast food workers and other workers, 14 days notice and if they dont abide by that, then they have to pay a premium. Many groups came out in opposition, retailers, i know some of the people who own stores on lexington. Theyre panicking, they cant afford the rising rents. Land owners have three years hiatus, and they have three years to not pay taxes and people are panicking, to do this on top of this, its unconscionable. Ashley bearing in mind whats happening to bricks and mortar all over the country. This is a microcosm and its scary. Stuart and the left has an agenda on forcing department stores. This is in addition to 15 minimum wage, pretty bad. Stuart im going to segue fast because as most people know ive got a bee in my bonnet about tort reform. I think that we need legal reform big time if we want to save any money on health care. Come on in, please, tommy thompson, who is a previous hhs secretary. Governor, welcome back, good to see you, sir. Well, its always a pleasure to be on your program, stuart and always good to hear you because you articulate a message that is badly needed and has common sense, so, thank you. Stuart oh, would you like a half hour on the show . Take it away, lad. Seriously, i do have this i really think that tort reform is really, really important if we want to try and contain and bring down the cost of health care. Do you see any possibility that well get tort reform before were done with obamacare . Im hopeful. Im not sure its going to be on the first bill, but fairly confident in the second bill. Tort reform is badly needed. I can tell you and attest to it, when i was governor of the state of wisconsin we put a cap, 350,000 on punitive damages, and we were able to successfully drive down insurance rates. Our sister state to the south, illinois, did not. Their rates went up and it was easy to see doctors travelling across the state lines to practice in wisconsin because of that particular issue. So, i know that its a serious cost and i know that it helps doctors and it does drive down health care cost. When you talk about health care, youve got to look at everything and anything to drive down costs and tort reform is one of many. Stuart yes, it is. Would you comment on, im going to say its a dark cloud hanging over the legislative schedule. We want to get Obamacare Repealed and replaced. We want tax reform, we want an infrastructure plan, and theres only 43 days between now and september the 30th, where the house and the senate are both in session. In sounds like, governor thompson, cannot see him. I think we lost him. Ashley we did. Stuart thats a shame because our own Ashley Webster when he was a nipper, a young lad. Ashley a young cub reporter. Stuart young cub reporter, his first interview with governor tommy thompson. Ashley i moved to green bay and he was cutting a ribbon at a new factory. My very first interview in green bay, he was very nice to me. Stuart although the governor cant hear us, thank you indeed, governor thompson, im glad you agree with me on tort reform and you can come back to the show anytime. Lets me move on to another flying nightmare. A jetblue flight from new york to San Francisco, forced to make an Emergency Landing after a laptop battery caught fire mid flight. Weve got full details on that coming up next. What a story. I count on my dell Small Business advisor for tech advice. With one phone call, i get products that suit my needs and i get back to business. Thithis is the new new york. E . Think again. We are building new airports all across the state. New roads and bridges. New mass transit. New business friendly environment. New lower taxes. And new University Partnerships to grow the businesses of tomorrow today. Learn more at esd. Ny. Gov President Trump on the twitter account again this morning. Whats he saying . This is about Climate Change. He says, i will be announcing my decision on the paris accord over the next few days, and then in capital letters, make America Great again. So, there you go. We know that, through reports, the process was underway. Now we get a timetable from the president saying within the next few days. Stuart so sources are saying the process of exiting the paris accord is underway. Ashley yeah. Stuart thats where we are with it. Next case, a reported laptop fire forced a jetblue plane to land in michigan. Now, this was a laptop that was in the passenger cabin . It was, some passengers say smoke started coming out of row 25, how frightening at 35 feet. Headed from jfk in new york to San Francisco and immediately the fire broke out from the lithium battery inside the laptop. They managed to put it out, but rightly so they landed in grand rapids, michigan. But it raised serious questions. Stuart now laptops are an issue because internationally they may have explosives in the laptops and domestically youve got a problem with the battery. A nightmare. The worst idea, we have to check theyre trying to make a law to check the laptops. What if it happened in the hold, it would have created more chaos. If the terrorists are smart enough to put explosives in the laptop and dont they put a timing device and blow it up in the hold of the plane. And there must be something i trust people like mattis and people behind this, its going to be peculiar. Stuart its going to be a tough summer for airlines. Bicycles. Stuart what else is up . The futures, were hoping up the market in four minutes time and up about 30 minutes. Well be back with the opening in a moment. Look closely. Hidden in every swing, every chip, and every putt, is data that can make the difference between winning and losing. The microsoft cloud helps the pga tour turn countless points of data into insights that transform their business and will enhance the game for players and fans. The microsoft cloud turns information into insight. 50 seconds to the opening bell. Were about 86 points away from an alltime high on the dow industrial average. When we open up, that will be about 40 seconds from now, well be up about 30 points. In other words, we are again, getting very, very close to another alltime high for the Dow Jones Industrial average. Pretty much the same story with the s p 500 and the nasdaq composite. Now there are a couple of negatives in the back drop. Number one, it isnt look like the president will get rid of the filibuster, 51 votes in the senate for health care and tax reform, it doesnt look like thats going to happen and weve got some concern whether or not we would withdraw from the Paris Climate Accord. It looks like were going to and the president says the announcement comes shortly. Bang, 9 30, were off and running and were up 18 points, up 16 points. 21,046. Let me summarize like this, the opening bell has scene the dow industrial average go up again, firmly above 21,000. The alltime record is 21,115, so were less than 100 points from the alltime high. Show me, please, the big tech names which are always performing very well, certainly for the last long, long time. Will you look at microsoft . Why, i do own some of it. Look at it, 70. 54 per share and thats an alltime high for that stock and amazon close to a thousand bucks [trumpet playing] the trumpets for microsoft and alphabet close to 1,000 a share. At one point one of these companies will be worth a trillion dollars, well get to that in a bit. How about mcdonalds . That stock near an alltime high, weve got news on it, that its teaming up with uber, i almost said hoover, vacuums. Uber, cars and driving, for the delivery of food. Mcdonalds 150 as of right now. We heard from a couple of clothing retailers earlier today. Michael kors losing money, closing stores, down it goes 7 . J. Jill, womens outfitting clothing, a rosie outlook for the future. That sets the stage 90 seconds in. Who is with me . Ashley webster, elizabeth peek and keith fitzgerald. And keith, remind me a little of the dotcom bubble. What say you . Well, it does on the surface, stuart, but very, very different. Back then, we didnt understand what dotcom meant. We had pets. Com with no revenue garnering millions of dollars. And now youve got capital and this is the finest example of capitalism most people would see in generations. Stuart would you put any of your clients money into the big five stocks. Without reservations on both counts. Stuart which ones . All of them. Stuart really . Thats a strong endorsement from the west coast there, all right. Keith fitz, youve set blood racing early in the morning there. Liz, are you going with that . Ill drink the koolaid. This is a sector that has Growth Prospects that are exciting. There is no end in sight. That makes amazon a 1,000 stock. There are sectors of the economy they havent tried yet. Remember, they started out selling books. Its extraordinary and now theyre going into retail and opening up book stores, so the whole thing is mindboggling, what their aspirations are and investors get that. Ashley liz said something earlier, the only game in town. If you took the five stocks away, what would the markets look like . Theyd be 40 lower, i think. Ashley 40 . Extraordinary. Stuart ive got that wrong. Keith, straighten me out. I believe the markets recent gains, 40 of the recent gains are a lot of those five stocks on the green. Ashley incredible. Stuart and if you take them away its not a 40 drop, but it is a drop. Which company is going to be worth a trillion dollars . Which company gets there first . Apple at the moment is worth 802 billion. Not that far away. So, the stock goes up 25 and youre worth a trillion. Google is worth 680 billion dollars. Amazon 477. Microsoft 545 billion dollars. Anybody, keith, or liz, do you want to get into this . Which is the first to a trillion . Apple probably is because its so close to it right now, but these are like countries now, right . They really are sort of probably bigger than portugal or i dont know exactly. Stuart which i would say the other thing about these companies is that theyre operating in an environment where none of the excitement or the discord about policy is really impacting them. In other words, there are a lot of industries, energy, health care, insurance, et cetera, what is going on in washington actually has some meaning. For these companies, theyre kind of flying free and thats a pretty good place to be right now. Stuart ive never seen anything like it. Keith, which of the big five would hit a trillion dollar market value . Well, liz raises a very, very valid point, i think shes spot on. I think its apple if for so other reason for the apple heads who love that stock no matter what. The other thing about the stocks, stuart, they are so well capitalized right now. Never mind the competition, just the sheer volume of cash that they can bring to any market they choose changes the competitive lan scape, ala the retail landscape. Stuart you roll your eyes and shake your head. The market is negative with the big five tech stocks on the upside. Now this, President Trump tweeting that he will make an announcement on the paris climate deal in the next few days. Straighten that out, ash. Ashley a couple of options. We understand theres a team, scott pruett, meeting to decide how they do this. Believable that the president decided as well as 22 prominent senators that agree theyre doing nothing for the United States. Its an agreement to do what and its very vague, no need to be in it. So he says the next few days theyll get out and the question is how do they there are those who say it could take three years to get out of this accord and it would be easier if you wanted to make a statement to get out of the treaty at united nations. Energy stocks are largely down and oil stocks are largely down, i think most more to do with the price of the crude oil at 48 rather than the paris accord. Mcdonalds near an alltime high. Crude oil, and then mcdonalds near the high, 150 because theyre teaming up with uber for delivery of food. Im not sure the pricing of all of this, but keith, that looks like a winning strategy, doesnt it . It does, but i hate to be debby downer, i think this is going to back fire on mcdonalds. You imagine what happens when you get that bag of food, soggy french fries and a mushy hamburger . I think its going to go back against the brand. Stuart theyre going to test it and see how it works. Ashley by next month 3500 restaurants will be available for service and most people who want that Service Order late at night. Stuart wait a minute, ive got to pay for the uber car, trip the driver, pay for the food. Why would i do that. Ashley the fries. They have tens of thousands of drivers without enough business and i think thats pretty good for that company. Stuart fascinating stuff. Now this, the Illinois House of representatives has approved a proposal that would raise the states minimum wage to 15 an hour over the next five years. Have they never heard of the expression automation . Thats the argument that theyre going to put a lot of people out of work. But remember, this is illinois where they have a gigantic pension obligation where basically the state has been operating i think 700 days without a budget. People are leaving this state. Its the number one state losing population. This is completely idiotic idea. They need to do everything they can to attract business to this state not to drive businesses away its really pretty crazy. Get rid of them just like that. And the big board now shows a loss of 6 points. We opened 20 points higher and now 6 points lower still at 21,000. How about the s p 500, its up just a point, just a fraction of 1 . The nasdaq composite. I believe thats up again. 2 . Nearly a quarter percent higher in an otherwise down market. Shows you the strength of technology. Growing concern over too much oil, too little demand and thats a sharp drop. Nearly a 3 drop. Alltime highs for alphabet, microsoft, and for tesla. They just keep on going. And im waiting to see alphabet get to a thousand bucks a share as it may very soon. Facebook has banned tributes to the 1989 Tiananmen Square in china. Keith, youre our asian expert, looks like facebook is posturing for the chinese government. I would use a different one, acquiescing sucking up, and whatever you want to use. The two are closely related and im not happy to see this. Stuart i think its termed doing the kowtow. A new study from the wall street journal, it says women ceos make more than their male counterparts. Last year, 21 female ceos received median compensation of 13 million a year. Compare that with 11 million for the 382 male chiefs. What do you say to that, liz. Im not at all surprised because their performance is better than the mens performance. Thats documented. In fact, in this study, that the performance of the companies being run by women is, ha, ha, better than [laughter] and why do you i disagree there is a pay gap. I think a lot of women dont make it to the csuite. And the ones who do, and boards of directors generally want to make sure theyre happy, they dont want to lose them. Stuart fascinating study. The nasdaq winners, technology companies, you saw the s p winners and i regrettably have to say thank you very much, keith, and thank you very much, liz. What a performance on a wednesday morning after a long holiday weekend. Thanks, everyone. Were down 4 points on the big board, 21,000. President trump is sick of the gridlock in d. C. And he wants it get rid of the filibuster. Just a simple majority, 51. Thats what he wants. Thats not what everybody wants. Senator mike lee will make his case on this program next. Im going to stay the market is dead flat. When you have it just up or down. 06 points, i think i can say dead flat. I think we have he got that right. Ashley its a pancake, yes. Stuart how about michael kors, that stock price is way, way down. Thats 10 . Losing money and closing stores. What else have we got on this one . Nicole remember how hot it was, it went out above the ipo price, it was so shot. Now its not. Were looking at 10 tracking it on a chart goes back to 2012, thats not good news for the stock. The quarterly numbers and the outlook are modest at best, certainly underperform the analysts expectations. They cannot get their goods out. They have high end accessories and high end bags and tried the flow of goods to the department stores, cutting that back a little bit so they can sell these things at full price, not able to do so and the ceo john idle says ours does not engage or excite the consumer. Now theyve got to figure out how to boost consumer demand, and we know that retailers have had a tough time. Stuart three words, retail ice age. Goes no further, all right. Now as they say for something, and i mean completely different, a north Korean Technology company. Is that a contradiction in terms . Has got a new tablet. Ashley its like a monthty python sketch. And in poyong yang they called it the ipad. They bought out something that looked like an apple imac last year. The specks on this thing not close to what an apple ipad would be today. Nevertheless, they put it out there, they say its very, very popular with our population, i dont know who pays for it. Stuart exactly, if you have nothing else, its popular. Ashley would apple sends an army of lawyers to pyong yang to battle it out . Probably not. Stuart now, serious stuff. The president wants the senate to get rid of the filibuster and get health care and tax cuts done. The u. S. Senate should switch to 51 immediately and get health care and tax cuts fast and easy, demes. Dems would do it no doubt. And here is a title i could love easily. A republican senator from utah. Senator mike lee. Welcome to the program. Thank you. Stuart you say you get rid of the filibuster and that does damage to the constitution or threatens the constitution. Thats not how i would put it. The senate can change the rules when it wants to. The filibuster rule has protected the constitution itself and protected conservative priorities in the past. By limiting the rate at which government can expand and grow. We would have had Single Payer Health care in this country, but for rule. Stuart we can get there with 51 votes because of the Senate Reconciliation rules. Stuart you havent gotten there yet and if theres any change made to the Obamacare Repeal and replacement bill, or the tax reform, like you make it permanent, for example, then you do need 60 votes and youre fot going to get 60 not going to get 60 in the senate. There are house bills that would have some errors that would change before we could bring it up for reconciliation. My point is there is a way to get there. Stuart the big changes you could not make without 60 votes. On tax reform there are some changes that might have a life span limit to them as a result of using reconciliation. With respect to obamacare, we can do almost anything that republicans have talked about doing, under the reconciliation rules, with 51 votes. Stuart okay. Talk to me about President Trump, who is going to announce in the next couple of days, very soon, we understand, what hes going to do with the paris accord, the climate accord. Sources say were out. What do you say . Thats good. Thats good for america. Stuart you like this . America ought to determine its own rules . America ought to regulate itself and not have itself drafted into some international agreement. An international agreement, which, by the way, is not going to be by anyone, but ourselves, we assume. Stuart do you think the planet is warming due to human activity . There are mixed theories whether the planet is warming. There are mixed theories whether human activity is to blame. Im somewhat agnostic to both. Even if it is and thats the cause, i have yet to see any solution to this that would result in anything other than economic devastation, a complete devastation of americas middle class without showing any sign of changing the matter at hand. I think the best thing we can do is promote a free market economy, one that can develop innovation and thats how we have brought about massive Emissions Reductions in the past, through technology, through the free market system. Stuart you stand out for conservativism, for free markets, and individual liberty. Youre a standout within the Republican Party, and some say you are splitting and dividing the Republican Party because you are recalcitrant, you wont budge. You wont, will you . If that makes me a standout, then weve got a problem with the Republican Party. I think the Republican Party stands for free market, i think the Republican Party stands for federalism, that people ought to be able to be at the state and local level. Stuart the book, written out of history, the founding fathers, new book. New book. I tell the stories of eight forgotten founders, people neglected or written out of history, as i say, their backgrounds or stories dont fit the modern narrative that we should always trust Big Government, Big Government programs are a good thing. Stuart in their day, they were railing against beg Big Government and kept at arms lengths. A government can do harm to people, especially to the middle class in any society thats suppressed whenever government misbehaves. Stuart whats dismaying to me, as a newly minted america, how its trending to look like europe. If you can stop it our efforts to make America Great again. Rather than to make America Great britain again. Stuart youre killing me, senator, killing me. [laughter] thank you for joining us. Thank you. Stuart check that big board, now were down 35 points. We dropped below 21,000. Lefthand side, so still a fair amount of green over there, but a lot of red, too. Starbucks chairman, Howard Schultz, taking a shot at President Trump. Hes telling his employees President Trump is creating chaos and hurting the economy. Were on it. More varney after this. Not ifu protect yourself. What is scary . Pneumococcal pneumonia. Its a serious disease. My doctor said the risk is greater now that im over 50 yeah. Yaha. 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And then Howard Schultz blasting trump. We have a president with episodic chaos every day, and affecting behavior. Ashley episodic chaos, id describe the pickup in starbucks. So overcrowded. We have a community, a safe space you can go into starbucks, a community of people who have likeminded thoughts, clearly leftleaning. Stuart if i walk in with a trump hat, wh what are they going to do to me . Hard to say. Make sure the camera is rolling. Stuart and whats his position. Ashley he said that Hillary Clinton has to be the next president. And the travel ban imposed by trump, that starbucks would hire 10,000 refugees, which caused a tremendous amount of pushback on that, saying, what about all the other people, the veterans who cant find work . Hes positioned this company or certainly himself as the head of starbucks, a company that hates donald trump in every form and fashion and all we can do is survive and to do that we need to fill ourselves full of caffeine. Stuart it hasnt done the stock that much harm. I remember starbucks in the 50s and now in the low 60s, his left wing stance has not affected the stock that i can tell eno. Stuart but theres a risk in identifying with remember, they started writing comments on their coffee cups. Stuart didnt work. Ashley no, it didnt. Stuart then the pc culture, in my opinion, out of control, stifling free speech. I really dont like it. Youll get my take on that at the top of the next hour. Stuart Political Correctness, it stifles debate, it stifles free speech. In this immigrants opinion it is unamerican. Here are some examples which are so outrageous, just maybe, the end is near for the pc straitjacket. In minneapolis a transis sit cop was fired for asking a suspect his immigration status. Metro transit said theyre working to reestablish trust with the community. After Evergreen College in washington state, a professor has been told to stay away from campus for a few days. The security chief could not guarranty the safety of Bret Weinstein because he had objected to the oneday exclusion of white people from the campus. In canada the editor of a literary magazine has been forced to resign, employee of the Canadian Broadcasting Corporation has been demoted. Why . They support what the left calls cultural appropriation, using other peoples culture or ideas or mode of dress. You cant do that. These guys are out. Lets not forget this, a comedian, i repeat a comedian, Kathy Griffin shows an image of President Trumps severed head. I dont know what point or joke she was trying to make, but that is clearly outrageous. She has apologized. Her status at cnn, not clear. Okay, extreme example. But we see the intrusion of the pc police on an almost daily basis. It is the left that is doing it. It is the left that is imposing forcibly its view of the world. Enough. We should go back in history. A half century, to mario savio who let students demonstrating for free speech. When have we see students demanding free speech recently . By the way he led those students at berkeley of all places please, lets turn full circle. The second hour of Varney Company is about to begin. Coming thick and fast this morning. Fresh today, sources tell fox news President Trump is expected to pull out of the paris climate agreement. A Firm Decision from the president coming in the next few days. Joining me now, former Trump Campaign manager corey lewandoski. Are we out, do you think, corey . That would fulfill a Campaign Promise . With you know about this president he outlined a sear riffs things he wanted to accomplish on the campaign. Now he is tick through them as the president. Whether that is tax cuts, repealing or replacing obamacare. Potentially the withdrawal of that terrible treaty. What we know this president looked at this for the first time through the eyes of the American People. What happens if we stay in this . Cost us 25 billion a year over a 10year period, that is quarter of a trillion dollars i think is the number. What it does, in order for us to meet goals of the treaty we have to reduce 40,000 american factories which is millions of jobs. Dont forget china pays zero towards this. Other countries pay zero towards it. All the burden once again on the United States to adhere to things other countries are not willing to do. This president is looking at this saying im here as the president of the United States. Is this right thing for our country. If he comes to a decision, which i think he will, it is not the right thing he will remove us from this terrible idea. Stuart real fast, obviously greens, environmentalists, europeans are going to be outraged at this. There will be significant opposition, especially think from america america, germanys leader, what say you to that . , very, very strong opposition . He is not the chancellor of germany. He is the president of the United States. They can impose whatever he wants. This president looks at things best for the United States and best for people here, and best for people who are working every day. We have factories and employment needs to stay in this country, by closing 40,000 factories to meet the criteria of the accord is not the best thing for the United States in my opinion. Stuart corey, hours after mike dubkes resignation as White House Communications director, hours after it went out, President Trump send out a late night tweet, despite the negative press coffje . Can you explain this the president has not trait straightened it out. I dont know what it means. It is pretty funny, it shows a humor the president has retweeted another one, hey figure out what that is. Stuart you do know, you do know that people are saying what on earth is going on . This is the president United States tweeting unintelligible words in the middle of the night. You know, you understand theyre asking, whats going on . Stuart, you know what this is . The same thing always been. President going directly to the American People. The uproar of the Mainstream Media because put a word out everyone is talking about is amazing. I love the fact he continues to go to the American People with message and tweets and pushes back on false narrative. You know what . He used a word no one heard of before. Maybe it was a mistake. Maybe it wasnt. I think it is comical. Give him credit. Have a little lefty for a change. Stuart it is not a word. Oxford English Dictionary doesnt have it there. Cory, thank you very much. Thank you, stuart. Stuart pending news on home sales. Not good, ashley. Ashley down 1. 3 . We were expecting a gain. Biggest drop in almost two years. These are homes under contract. It signals tight supply. Not a lot of homes on the market, prices are going up. Those two factors reducing homes under contract. Stuart dow industrials are down 82 points. The slide began before 10 00 before the pending home sales news was released. Nonetheless were heading south, down 86 points. That puts us below 21,000. Despite that i keep reminding everyone earlier today we had alltime highs for three big name tech companies. Microsoft and alphabet, alltime high. Tesla still at alltime high. The other two backed off a bit. How about the price of oil. A lot of supply, not much demand. That puts it down 3 at 48 a barrel. We heard from two clothing retailers, basically retailers. Michael kors losing money, closing 100 stores. That is retail ice age. J. Jill, womens closing. Rosy forecast. Good news for the retailer there. That stock is up 11 . Tale of two retailers right there. Back to my take at the top of the hour, President Trump responding to that Cathy Griffin photo, supposed humor. He says, Cathy Griffin should be ashamed of yourself. My children, especially my 11yearold son bear barron are having a hard time with this, sick. Fox news mediabuzz host, howard kurtz. She is employed by cnn. I do not know what her status is on cnn. Can you tell us the status. Much of the world denouncing this sick joke, far beyond the line of any human decency. Cnn waited for hours, criticized Cathy Griffin put her on with anderson cooper, one of the biggest anchors. I would suggest this is any other president , held up the bloodied severed head. No question she would be gone. Cnn would put out a statement, saying she will never appear on the air again. Stuart so far that has not happened. Do you have any comment on scott pelley, reportedly out as cbs evening news. Anchor . Is this anything to do with politics or is this is a personality clash . The only thing i see here, a little stiff as anchor, much better as correspondent, criticized as using loaded language against President Trump. Not saying anything being removed from the anchor chair. He talks about trump divorced from reality. This is ratings issue. Numbers down for six years. If scott pelley is in first place they would smooth things over. Stuart what appears to be a dichotomy, there is a lot of news which affects peoples daily lives, whether about their income, their house, their job, their career, et cetera, et cetera, news that really gets to people, that is about them. Then there is news about russia, Jared Kushner and all the rest of it. Seems like there is a dichotomy where the Mainstream Media wants to concentrate on russia and kushner and investigations but the, very limited number of people in the media going for news that affects peoples daily lives. Is that the split we have with us now . Come to calling it a split screen presidency. The fact there is a special counsel investigation about russia touching on some people around the president is news, no queson about that classics exame was la week. President goes on foreign trip. Has a pretty good performance in saudi arabia and israel and meets with the pope and that was covered but it kept getting, kept breaking news be banners, mike flynn pleading the fifth, that sort of thing. So it is clear that the story that the press really wants to cover, much of the press i should say is all the scandalrelated stuff. All the shakeup speculation that hasnt quite happened yet. The news that average merges care about that affectses their lives often takes a back seat. Stuart howard kurtz, thank you, see you real soon. The pentagon marks a historic milestone for the Missile Defense system. Ive seen that video, ash. Ashley its a groundbased interceptor. Launched from california airbase in vandenberg in the california desert and you know, look, the timing of this is interesting. Weve had mine missile launches from north korea. However the pentagon said the test was longplanned ago. It comes amidst the increased tensions. It was very impressive. Flew about 250 miles, actually 280 miles before hitting a mock Ballistic Missile attack. In other words, first time it tested and it worked. Stuart extremely difficult to launch a bullet and knock another bullet out of the sky. Ashley especially great distances. Stuart remember when star wars with reagan, 30 years ago, that will never work. It is too expensive, expensive. Now we need it. Ashley there you go. Stuart there you go. President trump says he will make announcement whether or not he pulls out of the paris climate agreement in the very near future. Another hangover from the Obama Administration may be gone. More developments on the dui arrest of tiger woods. His car was damaged before Police Arrived on the scene. Flat tires, found asleep at the wheel. Dashcam video is expected to be released today. Maybe you will see it. More varney next. Doesnt always come back up. [ toilet flushes ] so when you need a plumber, you can count on us to help you find the right person for the job. Discover all the ways we can help at angies list. Because your home is where our heart is. Stuart well, were coming back a little, pressing against the 21,000 level again. We were down 85. Now were down 62, got it. Look at the dow 30 please, evenly split red and green, up and down. Now, sources tell fox news that President Trump will make a decision on the Paris Climate Accord in the next few days. Odds are sources say, were out. Joining us former senator tom coburn, author of the new book, smashing the d. C. Monopoly. There is another title i could learn to love. You had a a lot to stay about paris. It doesnt have anything to do with climate but a lousy agreement. We pay biggest price anybody in the world pays in that agreement. It wasnt balances. So if were going to have a climate accord, it ought to be one that treats us fairly. That is what trumps whole position is. It is not a debate about climate. It is about one that shares the burden equally. China gets off the hook in that. Indyou yaw gets off the hook in that . How we have big trade deficits with both of them yet theyre not participating in a fair way in that paris climate agreement. Stuart your opposition, it was a lousy agreement, unfair. Almost everything that the Obama Administration did in terms of agreements. Stuart go to the core of it is the planet warming and is it the result of human activity, that is what the paris accord was designed i understand, the studies would tell you were not warming now. Stuart really . No. Stuart what is this all about the 99 74 they wanted to say that, and selfselected that 74 scientists, 67, cant remember the number, they got that agreement. They got them to say that. If you go and poll, what is the actual data say i dont think you see 99 , you may see 7525, may see 2570. I dont know that. We had the political mantra out there if you doubt what we said, youre, youre a flat earther, you dont agree. So the fact is i believe there is Climate Change all the time. Some of it may be manmade. Most of it is not. Most is sun spot activity and solar effects on our climate. But the fact is, is if were all going to agree to do something, lets do it fairly. The Paris Climate Accord wasnt fair. Stuart i ask you to hold on for a second. I have got some breaking news. Its a related story. Dnc chair tom perez releasing a statement on President Trump and paris climate agreement. Ashley i have not seen it. Ashley no but i do. Here it is from mr. Paris. Withdrawing from the Paris Agreement would be a global embarassment and gross abdication of american leadership. We shouldnt have to wait until maralago is under water for President Trump to care about the consequences of Climate Change. Stuart your comment, senator . I went into the congress in 1995. They told me the same thing that the oceans are rising. So, now, here we are, some 22 years later, right . And whats the difference . One millimeter . , two millimeters . Stuart is that it . I dont know. The fact is, weve not seen a major encroachment. The ice storage in antarctica is greater than it has ever been. They have had more ice in the arctic weve seen in 30 years, tell me where this is. If we want to use symptoms instead of disease we can claim almost anything we want because we can find what matches our philosophy. If you want to look at the real disease, should we be good stewards of america . Absolutely. Should we be emotional and reactive until we have all the facts . You know i not know a lot of listeners believe this is absolute science. Stuart they do. Im just ive actually read all of it while i was a u. S. Senator. I read the science. I read the hockey stick curve. Heed Read Everything out there. I dont agree. Stuart now i was going to ask about the president wanting to end about the filibuster. Instead i will ask a question about you. Last time i met you you were about to leave the senate because i believe, as i recall, you had stage 4 cancer. Here you are, sitting next to me right as rain. You look really good and healthy. What happened . Good doctoring. Good Health Care System in america. You know, the only problem with our Health Care System, stuart, is we dont have real markets. Stuart tell me about you, come on. All the way back. I had several surgeries. Stuart dare i say you came back from deaths door . Sure. I have done that before. I had stage 4 colon cancer too. The fact is, if you go and find the best practices, and excellence, you get great outcomes. What we need to do is make that available for everyone. We can do that. Stuart but you would admit your presence here today is miracle, isnt it . Sure. It is a blessing. Ive been blessed. Stuart senator there shouldnt be, you shouldnt get rid of the filibuster in the senate. Stuart okay. But i got tears in my eyes a man comes fromtage 4 cancer twice. I really do, senator. Great to see you. They have to go to convention of states. Com to find out how we fix our country. Stuart you want to talk politics. I want to talk you. No, i want to talk about fixing our country. Doesnt have anything to do with politics. Certainly not doing that in washington, are we. Stuart certainly, senator. Good to see you. Yes, sir. Stuart if you thought male ceos were paid more than their female counterparts, think again. Women ceos actually make more on average. Find out how much more next. Think again. This is the new new york. We are building new airports all across the state. New roads and bridges. New mass transit. New business friendly environment. New lower taxes. And new University Partnerships to grow the businesses of tomorrow today. Learn more at esd. Ny. Gov stuart it is a down day thus far on wall street, below 21,000. Off 73 on the dow. Michael kors, that stock price hitting a fiveyear low. Dismal forecast, losing money, closing stores, down 10 . New numbers reveal female ceos make more than their male counterparts. Who is here, tracee carrasco. Big smile. Give me the numbers. Reporter look at the numbers. 21 ceos easterned median compensation package 13. 8 million, compared to 11. 6 million for 382 male ceos. That is looking at s p 500 leaders. Now the defend is strong performances by the female ceos. Theyre being compensated. Boards dont want to shortchange female ceos, especially the payee quality such a big issue right now. Stuart so weve got this pay gap for ordinary people. Im not sure whether it is real or otherwise. Im not going to ask you whether it is real or otherwise but at the top level, ceo level, youre saying boards, board of directors, they dont want to say here is a few bucks, take the ceo job, they want to load up the ladies with a big deal . Theyre earning it. Were seeing that pay gap reverse at top of the ladder for female ceos. Stuart is there any relationship between performance of the company under a female ceo than under a male ceo, is there any difference that you know of. Reporter not that i know of. Stuart makes the story. Tracee, good stuff. Thank you. President trump delivers on a Campaign Promise, he will make a decision at least on the paris clate agreement the next few days. He is likely to leave. That is what we know. Sure to make the environmentalists apoplectic. Well be back with apoplexy after this. Stuart down day thus far. Not a huge drop, were off 65, 67 points, off 21,000. Look at big tech names still sitting very, very close to an alltime highs, all down a little now, but still close to those highs. We got red arrows for the drillers. The price of oil is down nearly 3 today. There is a glut in terms of supply. Not that much demand. The drillers taking it on the chin to the tune of what, four, 4 1 2 there. The president tweeting he will announce his decision whether to pull out from the paris climate agreement in the next few days. Sources say, yeah, were going to be out. Ohio congressman jim ren nays see joins us now. You agree with that . You want us to pull out of paris . Stuart, i will wait for his decision. I signed on to a letter, it is not good for ohio, especially with the oil and Gas Production potential we have. Im hoping president take as a look at it. Well see what his decision finally is. Stuart there would be a firestorm of opposition when and if the president announces his withdrawal. The environmentalists will go crazy. Greenies will follow suit. Europeans who are married to Climate Change. They will object strenuously. Is there a risk, very, very negative response to this . One thing i noticed anything President Trump does or seems to be a fire lash back from the left. We have to continue to move forward. We have to do the right thing. In the end people will be disagreeing. This country is 50 50. 50 are going to agree, 50 are going to disagree. Stuart let me make sure i got this right, you want out . For the interests of the state of ohio i would like us to move away from it. Stuart President Trump wants to end the filibuster. He wants to go nuclear. We have a fast track, 51 votes required in the senate to pass Health Reform and tax reform. What do you say . Are you in favor of that . I know youre a congressman in the house but what do you say about that rule change in the senate . Well, look im not in the senate as you know but he i do think that the 60vote majority was necessity in the past. The problem were such a divided country. We cant get much done. It is politics over people. In the end well have to move things quicker. Stuart it is really divided Republican Party that President Trump is aiming at, surely . I think we have a divided party as well but i do think in the end the party does feel we need to move the ball forward. This is about growth, this is about the country. This is about the economy. This is about republicans do agree on. That has to be key to move forward. Stuart i understand youre running for governor of the great stay of ohio. John kasich is termlimited out i think. Youre running to replace him. Youre a trump guy, full front, arent you . I came out in support of donald trump, President Trump very early. I believe that we need to change politics as usual, can not continue. Politics as usual in ohio can not continue. I said all along, i was a business guy for 30 years. Im frustrated were not moving quickly in washington. I also know i can get things done in ohio much quicker. I decided to come back here to run for governor. Stuart what would you do in ohio, that you couldnt do on the National Stage in congress . Executive position, stuart you can do a lot more. You can direct and lead. You can bring people together. You can look at regulations. Day one i look at every jobkilling regulations hurting ohio. Ohio has gone from 21st to 37th in job production. We have to look at changing that. Look at ways of growing ohio. I came here 34 years ago. It was the land of opportunity. I lived American Dream from a poor working class family to be able to build a business, grow a is about. I want that same future for our children and grandchildren. Stuart did you build your business in the Retail Sector . I think you did . I was in health care. I was in auto. I was ccpa. I was in construction. Stuart you were one of the richest men in congress . I was one of poorest men in Congress Going back 34 years ago. Stuart that is the American Dream. I dont see anything wrong coming to ohio or coming to america, playing by the rules and making a small fortune. What is wrong with that . Absolutely. I agree with that. That is what every american should have the opportunity to do. What i had opportunity to do 30, 40 years ago. That is what i want to do in ohio again. Stuart congressman, thanks for joining us. Thank you, stuart. Stuart yes, sir. My take at the top of the hour, it is really and a editorial, i was talking about the pc culture on the left. I think it is reaching astonishing levels. Pc police are all over it. Kathy griffin photo. Free speech safe zones. A officer in minneapolis because he asked about a persons immigration status, fired because he asked the question. Boston columnist Adrianna Cohen joins us. Great to be with you, stuart. Stuart part of my editorial, i think the pc culture has reached such a point, were now going to retreat from it because it has become simply outrageo do you see any signs of retreat from this . Well, i think there has been some backlash, rightfully so. Because as you know, stuart, Political Correctness is not only a form of censorship, it is encroachment on the First Amendment rights of free speech he and it has gotten so extreme now that it is actually jeopardizing national security. One example of that is, the terror attack, isisinspired terror attack in san bernardino. There were neighbors who were witnessing strange muslim men visiting jihadi brides apartment at strange hours of the night but they were afraid to report that because of Political Correctness. They were afraid that, culture would push back and call them islamaphobe. Look what happened, they slaughtered all these americans. That is one of many, many examples where Political Correctness can get people killed. Stuart when are we going to retreat from it . When will we put our foot down insist, this is the United States of america. We should have free speech . When are we going to do that . Absolutely. You know the aclu needs to do a better job pushing back on violation of free speech rights happening every single day on American College campuses. Now adays if you go to college, these poor students are given, a laundry list of words theyre not allowed to say, safe spaces. This is not what our veterans lost life and limb protecting our freedoms for so our College Student could go on campus and have a laundry list of incredible amount of words theyre not allowed to say, god forbid they offend someone. It has gotten outrage just. Stuart i believe youre based in boston, is that correct . Yes. Stuart im not sure boston is ready for someone like you. Im not sure you can get away with it. Here is my next question. President trump goes to europe, he says, hey, you europeans start defending yourself. Pay for your own defense. You got a free ride for the last