snap has beaten up the social media stock. scott devitt is injoing us by phone. welcome back. >> thank you for having me. >> this is a heavy call. people expected the stock to move lower why today with this move >> the lock-up expiration i think is more and more internet cops have become public over the past five, six, seven years. investors have become more educated on timing and pricing in the incremental supply and snap has been responding to the upcoming lock-up expiration for some time now. but it's important to note that it's not just about the lock-up operation. there has to be a fundamental story behind the stock and we're more favorable right now. >> people are growing more conscious at a time when you seem to be growing more optimistic based on what metric >> we track things at downloads and engagement which is disclosed by the company and our view is that the narrative that's been created by instagram, facebook messenger continuing to add core features and functionality that the market is zero sum as it relates to snapchat is additive to the market and that snap's core user is relatively unaffected this story will continue to develop in terms of user growth and increasing high rates of expansion in coming years. >> you say that investors may be overreak over overreacting in part to q1 results. when you come out of the gate as a new company and put up a first quarter report that was as disappointing as they did, what gives you the confidence that the second quarter is going to be any better and do they have a credibility issue now? >> certainly there's some credibility issue but don't forget that companies as prominent as alibaba and facebook had challenging periods in their first year out of the gate in this public company. we try not to focus too much on that in terms of there being other reasons for timing of ipo in terms of stock performance. as it relates to snap, there were dynamics around seasonality in the business from the syndicate and nonsyndicate analysts that we think created a setup for the company that made it look worse than the reality of what was actually happening in the business. and that seasonality in the next three quarters could be good as it progresses through the year. >> scott, it's josh brown. i'm not in snap. i would not be short the name. i would probably buy it lower, maybe a lot lower. i think what you don't address is the real issue. so i'm keir yocurious what you'e would be really, no one is going to have any kind of voting power or decision-making ability respond what spiegel and his small circle are able to do. some people will look at facebook and google and say they are doing the same thing but my response would be, they've proven it. we are not going to let the mob run this company snap came public with that already in place, which is, i would say, precocious at best and i don't think they've earned that right what is your take on that? >> i think that's a fair point and one that we didn't specifically address because it's so prominent throughout the industry now among a wider base of companies. >> not at the ipo stage, scott. >> there are, i think, structures put in place in many of these at which that happens now at the ipo and if you look through the broad list of internet companies or specifically what we cover, i would struggle to have a coverage if the coverage included companies -- >> has spiegel earned it, though, do you think has he done enough to deserve that >> yeah, i think it's a young company and that's a controversy that does expand beyond snap and i'm not defending that at all. i think that's that's something that is investing in the category or sector as an investor, for the most part at this point, you have to accept because the vast majority of cap and increasingly number of companies are structured that way as silicon valley has gained more power in the word, they've been able to structure in the direction that they prefer versus investor preference. >> so you think the lockup expiration is overrated? because that's what everybody is talking about. i'm just curious personally about wading into something at this point in time before a major event like that could happen, why you would even want to do that. >> the fundamentals are supported. the lockup operations become so publicized, you have so much more than the effects on the stocks that are different. i highlighted the alibaba. this has been the predominant driving force of the stock for a few weeks and it's front and center in terms of trying to get ahead of that, possibly being early in terms of timing because of incremental supply the market starts to focus on the headline, the 959 million shares that hit the market and doesn't focus on the likelihood that it's a much smaller share number that does hit to the extent that the fundamentals offset that as the reporting is on august sot10th,h question in our call in terms of where we're wrong i think it expands beyond the lockup expiration and in terms of the depth of the report in terms of whether we are right on the fundamentals or not. >> you have people taking a second look at the stock today and thinking about it perhaps in a different way. stock is up 4.25%. >> you used dcf valuation, which i find kind of strange you can have them say whatever you want them to say because of the input that you put there isn't that unusual to have dcf, discounted cash flow analysis versus multiple revenues going out or earnings at some point, free cash flow it's a fable in a lot of instances. >> yeah. i don't know how to value a company other than a discounted cash flow analysis that leaves all of our price targets in terms of dcf and we support that with multiple support. in the case of snap, if you look at the multiple support behind the dcf, the business trades at six times 19 revenue, facebook trades at 7 times. facebook has a higher margin but a much lower growth rate and twitter trade is roughly five times for a business that's gone close to ex-growth and this trades at a one-turn premium to that on a relative multiple basis, i think the valuation is quite sensible i agree in terms of the sensitivity to inputs on dcfs but at the same time it's the only way we know how to value a business. >> scott, appreciate it very much. >> thank you. >> if we were off tv, i might have another word for it >> i traded the scott. i was waiting to see if we saw a big surge in call volume we did we see people doing what people did, buying short and 550 million shares comes at the end of this month. there's going to be a lot easier borrow on this stock for those that don't trade options a bet to the downside. >> don't you think they are on the other side of weiss? >> i was thinking about it but then all of a sudden, judge, in the first hour of trade, probably based on scott's call, scott devitt's call, there was a surge of call volume it was met with a surge of put volume in the last hour or so. so, no, i traded the stock i'm out of it. i have no position in snap right now. and i'm thinking this is going to be a lot heavier lift for anybody who thinks this is going to rebound 15% short interest, i think that doubles after this lockup. >> and that's a high shortage of the float. >> yep. >> but unshort it not only because of the lockup. that's secondary this company missed out of the gate companies should never miss out of the gate. >> as many have made that point. >> that's bad news >> the other issue to me is, i'm going back to a dcf. that's what i use on every company, a cash flow guy i don't use it on these types of companies because it's not appropriate, in my view. the other issue is that the fundamentals have been declining. to use a relative valuation versus facebook, it's more appropriately value versus twitter, in my book. so i just think the fundamentals are just deteriorating. >> joe >> 200 million daily active users for instagram and a million for snap so what are we talking about here buying the stock at 16 and it goes to 17 okay you're a hero. it took facebook a year to get back above the opening price of 38 once it reported good earnings that's what you're waiting for in a stock like this if you think you moved the move on facebook, okay, go buy twitter. i would rather buy twitter than buy snap. >> buy it at the high. >> the skepticism in your voice and the questioning of the analyst, that was probable. >> think about the risk you're taking to try to get to five or six points my take on snap from day one has always been i only want heaven or hell. so if it drops down below the teens and into 11 or 12, i get really interesting because it's too hated and by the way, don't clutch your pearls if it starts to break, 27, 28, 29, listen, i know that most people that are really following this company know more than i do and i will say, okay, the market has decided either it's because the ad network has gotten attraction or it's exploding something is driving momentum here this is where it failed soon after the ipo just like i'd be a buyer after everyone else gives up on it but in between -- >> opportunity object tn the hie of this thing. i think you'll see single digits and that happens after the lockup i know what you talked about and i totally agree. how do you miss q1 and they did all bad things. >> stock at 15 and change? >> 15 and change >> i think what scott's call should have been after the lockup, that will be the opportunity. >> that would be so obvious. >> we'll see, right? because if we're right and this thing goes down, now scott has got to be sitting here watching this. >> give him credit, though >> not only that, not on this call here. $16 target on it before this he just raised this target he saw this coming on the other hand, when the lead banker goes to a neutral, when the stock is far below its offering price, i noticed that because they have the best -- >> morgan stanley? >> morgan stanley. >> if you think about it, what would be the worst thing for a snap investor to see it would be a rally to 19. >> you don't want to see lower highs and that's actually, i think, a best-case scenario. >> to give full props to weiss, you all own puts. >> i love this conversation, although i want to move to another beaten down stock that's getting a rebound today and that's target revising their guidance take a look at that stock. stock is up 4% they raise their q2 guidance, their comp outlook as well what do we think of this is this a sign that the worst of retail is -- >> you know what would be the best sign for them not for retail you can't do that. people say this read-through means all of retail is back and that's what the reaction is. >> no way. >> i agree with you. it's not it's still the dpe ticompetitiof everybody and amazon i'd like to see target put their neck out there i'd like to see the insiders when we've seen this stock beaten down, beaten down, beaten down, what really made the turn -- we've seen it in the past and we've seen huge highs coming meaningfully. >> cramer's point was, don't make too much of it. >> right. >> until another retailer at least comes out and says the same thing >> let's not have amnesia. we're talking about a company saying they are going to do above guidance that i think was already lowered maybe multiple times. >> that's one. let me tell you a quick story on macy's take a look at the chart of this name it's had three separate 30% rallies on the way down to be down 70% in the last two years so every single time it rallied 30%, macy's is back and then lower. so you can get a rally here. >> and for those who bought with a 5% yield, they're really under water. macy's has over 7% yield what i would buy, though, and i mentioned yesterday even though nobody remembers it, was auto zone auto zone, from what i understand -- >> yeah, he mentioned it yesterday. >> i mentioned it to people that have better memories, actually >> i'm not going to drop any names, scott and i think it's down 800 to 500. >> why not step up >> after o'reilly came up, they had disappointing numbers. auto zone got taken outside and beaten up. now you like these stocks? >> beaten up yes. >> and when all of those auto parts places got beat up a week ago, judge, that was also preceding the prime day this week i'm not say that everybody was buying their auto parts on prime day but when the statement was made by o'reilly, that's when the selling occurred across the board. autozone everybody and that's when i would stick with gap stores, i'd sell that rally today and a rallying is the bounce. kayla toushe is on capitol hill. >> the gop senators are discussing the contents of this new draft of other health care bill released this morning among some of the changes, they preserved two taxes from the affordable care act and raise about $300 billion for the federal government over the next ten years and with those savings thesh goi they are going to divert those funds to the state and $50 billion in short-term stabilization. $132 billion and longer term stabilization to try and cover the higher risk, lower income individuals. there are some changes to the way that the medicaid expansion is treated but it's unclear how material senators from states like ohio and west virginia and nevada will feel if these changes are. there are changes to calculations and exemptions for specific events and specific types of enrollees, not necessarily wholesale changes to the year, for instance, during which the expansion begins to taper off or the inflation peg that the expansion growth budget is tied to so that is certainly something that we're waiting to hear in terms of the sentiment around this bill, scott, we've heard senator john cornyn, the number two republican, saying that he believes that this bill will have the vote. by the time it goes to the floor. maybe not today but over the course of the next couple of weeks as senators introduce amendments that he believes it will have the votes to pass. to that end, senator dean heller of nevada who said he was opposed to the earlier draft said he was undecided on this version. senator susan collins of maine said she wanted to wait and see exactly what was in it and discuss it after the meeting and then senator ron johnson of wisconsin, who was opposed to the first draft when it was announced in mid-june, he said that he will support a motion to proceed and it does feel like a little bit more of a positive tide turning, even if there are changes to come in the next couple of weeks. this is not the final draft, we should know. >> they are probably feeling the heat as well to get something done, kayla, after the president's comments yesterday to pat robinson, that he would be angry, his words, if they couldn't pass this legislation. >> reporter: yeah. the president and white house clearly want a legislative win, especially for recess. the senate delaying its recess by two weeks but there's an expectation that if they have the two weeks that they bought themselves, maybe they have to take up the debt ceiling in that time as well just because they had that additional two weeks doesn't mean they are not feeling the pressure to get this done sooner rather than later. >> kayla tausche on capitol hill, thank you. we're waiting for the press conference with the president and macron we'll take you to paris in two minutes. "halftime report" is back in two. your brain is an amazing thing. but as you get older, it naturally begins to change, causing a lack of sharpness, or even trouble with recall. thankfully, the breakthrough in prevagen helps your brain and actually improves memory. the secret is an ingredient originally discovered... in jellyfish. in clinical trials, prevagen has been shown to improve short-term memory. prevagen. the name to remember. welcome back we are waiting for the president's news conference in president with the french president macron we'll take you there live. in the meantime, let's talk about a few more stocks that are up teva is up 1%. what's going on? >> it's one of those perpetual value companies. ho look, i still think this is a challenged landscape but this is a decent story. >> pete, seagate was downgraded. >> western digital is winning in this battle and i think a lot of that has to do with the acquisition strategy that is spot on. hitting near the lows of the 52 weeks for this name. i'd stay away from seagate i think western digital goes to a hundred. >> the google of russia, also known as yandex -- >> i don't know russia, scott. i have nothing in russia >> you're huge in russia >> look, listen, listen, it's a technology company that has a search platform. when you look at how it trades relative to the rsx, which is the russia etf, they move in lockstep it's essentially a proxy i'm just saying how it moves uber got chased out. maybe they will let yandex run it i don't know that i would buy yandex this is not my time of thing. >> joe, t. rowe. >> up 5% to 906 million. asset managers the last couple of years have struggled as the move has been to etfs. the ceo did a good job of defending the story. they are active stock pickers. i think all of the asset manager are building positive momentum. >> doc, give me the scoop of delta airlines >> revenue was strong but they missed about 3 or 4 cents on the bottom line, the profit number, judge. that's why the ceo said on the conference call, though, they expect earnings growth of about 15% for the remainder of the year. it's not down very much, given the run that the airlines have had. chew on that. let's go to our breaking news desk. less leslie picker has more. >> that's right. shares of 21st century fox have gone down. bradley imposed tomorrow as a deadline where she would refer the deal to the authorities for additional scrutiny. the deal has been under critical observation over concerns about scandals at fox as well as the murdoch's potentially having too much control over the news and headlines given their ownership of so many assets as well. scott, back to you. >> leslie picker, thank you. we are awaiting president trump's news conference in paris live with the french president that's from earlier. the arrival today at the presidential palace. we're llinall foowg of it. "halftime report" back in two minutes. 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 at the lexus golden opportunity sales event before it ends. choose from the is turbo, es 350 or nx turbo for $299 a month for 36 months if you lease now. experience amazing at your lexus dealer. we cut the price of trades to give investors even more value. and at $4.95, you can trade with a clear advantage. fidelity, where smarter investors will always be. all right. welcome back that's a live shot there in paris. a news conference with president trump and president macron was supposed to begin a few minutes ago. they don't always begin on time. let's talk about the dollar. it's trying to recover after hitting the lowest level in eight months let's bring in sue herera. >> scott, thanks so much the dollar -- i'm filling in, by the way, for jackie deangelis. the dollar is sitting at the lowest level since october after comments from the fed. the greenback is down 6% this year and jim iuorio has more jim? >> the stock market was considered very dovish and to me that means someone at the late stages of this, almost 8% break that we've had earlier in the year i actually think it's a sign of strength if it settles back above 96, i think it's probably due for a bounce that might be a bear market bounce but a bounce nonetheless. >> jeff, what are you watching >> jim is right. we're seeing major support if you look at april, may and august, 94 is a significant level. there is knee-jerk reaction and jimmy is absolutely right. 98 is going to be a cap in the u.s. dollar index. why? due to the fact that the ecb is more hawkish a tug-of-war between yellen and the ecb gives us a range of 9 had and 98 play the range, sue. >> play the range. you've got it. see you in a bit for more futures, check out our live show. today, we're joined by ryan detrick at lpl financial he has interesting stats on how low volatility has been this year and what it means for the second half. scott, back to you. >> sue, thank you so much. up next, we're tracking the traders, the win s and losses when we come back on "the halftime report. hey gary, what'd you got here? this bad boy is a mobile trading desk so that i can take my trading platform wherever i go. you know that thinkorswim seamlessly syncs across all your devices, right? oh, so my custom studies will go with me? anywhere you want to go! the market's hot! sync your platform on any device with thinkorswim. only at td ameritrade we, the people, are tired of being surprised with extra monthly fees. we want hd. and every box and dvr. all included. because we don't like surprises. yeah. like changing up the celebrity at the end to someone more handsome. and talented. really. and british. switch from cable to directv. get 4 rooms with hd, dvr, and every box included for $25 a month. this is senator lindsey graham after the meeting with mitch mcconnell on health care. >> do you think that's going to bring any of the holdouts around >> i think if you get governors liking this, that's going to free up several senators who are in a bad spot. on the politics of the democrat, if you're a single-payer person, this is not a good idea. we take the money and power out of the washington and bring it back home. if you're a moderate democrat and i leave the taxes in place, a generous new benefit, we don't do away with the tax cut -- we do away with the tax cuts for the wealthy. you've got to go back home and explain to your people why you don't trust them with the money more than some bureaucrat in washington there will be a lot of democrats in a bad spot because we keep the taxes on the wealthy and allow it to be spent in their own backyard and i think we'll pick up a few democrats because they will probably trust their state health care system i don't know if we can pull it off. i know the key to this is to get it written and scored and see if we can get governor support. this could actually merge with what mitch is doing. >> so you're trying to get some democrats to vote for the motion to proceed of this bill? >> no. i'm trying to get a bill that will lock down republican governors and making it easier for us to get to 50 republicans. here's what i think. if you've got a bill that empowers state health care systems with new money, it may be hard to say no if you're a democrat if your governor likes it if your governor says i could do more with this money, you can do more with it in washington and get health care closer to home, deliver better quality than some bureaucrat in washington that becomes a different political consideration. >> has your governor signed on to your plan >> we'll working with him and with every governor. the key for us, i don't know why we didn't do this earlier on we're rearranging the deck of chairs here. we're trying to make obamacare kind of different but we're keeping it all in washington what if you took the money and block granted it back home and allow innovation to occur? be generous, keep the tax increases in place and see what they could do. >> how many senators have expressed support for your plan? >> everybody is looking for an idea that is more republican and does not run into the concept you're taking money from poor people and giving it to rich people >> the tax reform effort ends up defunding -- i'm sorry will -- >> the revenue stream will be effective. we may lower tax rates for the country as a whole but the revenue stream never goes away but we may have a more flatter tax for the country as a whole >> thanks very much, senator >> senate majority leader mitch mcconnell saying that the revised health care bill is, in his words, well received our kayla tausche is covering this story on capitol hill it's very clear what the senator's strategy is, and that's to garner support at the state level to try to get more support on the hill. perhaps to get some cover. >> reporter: yeah. and he talked about the need to get some of those governors on board. it's worth noting the national governor's association is having the summer meeting this week and they're going to talk health care over the next couple of days and specifically in one state, nevada. there's been a break between the way the senators might vote and how the governor of that state feels about medicaid expansion in particular. what you just heard senator graham talking about was a proposal that and and senator casey put forward you but in terms of the proposal that majority leader mitch mcconnell put forward to vote on a motion to proceed early next week and at that time they'll be able to take amendments and figure out how this final draft will look but top republicans do believe that this bill is moving forward. scott? >> well, he did say he didn't know if they had the votes, kayla, and we do expect that we will hear from senator mcconnell himself on the floor momentarily as he tries to implore his membership to get behind this. kayla tausche with the very latest on capitol hill we continue to wait for the big event in paris president trump and the news conference with president macron in paris you can see there the final preparations are under way they are maybe 15, 20 minutes behind schedule at this point. these things tend to do that we'll take you there live, though, to get not only the statements from the two leaders but the question and answer session. do expect it's a 2 and 2 format, two reporters from france and two from the united states who will answer their questions there. we'll take you back there in a matter of moments. let's go to our quarterly reports. >> they don't have the bricks and mortar to worry about. they have the tommy hilfiger, and this looks the best to me. >> i'm looking for schwab recently >> doc, let's start with you pvh. let's talk about retail. it's up 15% since your call. >> added to it today, judge. pvh. there's unusual buy calling. still like it. i like that they are not bricks and mortar i love that they are just about brands things are going well domestically the demand out of europe is going to be good, too. so sticking with it. >> lumber is up. >> i would say no. i'd pull back. if you look at the chart -- josh is far better with charts than i am but even the a the high, somebody looked for a breakout to the upside and they bought 5,000 of the august calls. they went out in time. it was a trade for me. i'm out. i would not be in the stock anymore. >> jetblue is up 13% the stock is up. what do do you >> it just broke out today it's breaking massive year resistance and this has been a long time coming if you're in it, i would not get out of it. i own the stock. i'm not a seller i think it's got a lot of potential. has not kept up with the sector and that could change now. >> we're going to break out of this and go to the senate floor where motorcycitch mcconnell is speaking now. >> obamacare premiums have increased on an average of 100% on the federal exchange. next year, obamacare premiums could rise by 50% or more in states like georgia and maryland all across the country, americans are losing choice and access already americans living in 70% of counties have little or no options for obamacare insurance. next year, nearly 40% fewer insurers have failed to participate in the obamacare exchanges and americans face the real possibility of having no options to pick from at all. these trends are not new costs have been going up choice has been going down for years. but these trends continue to get worse and things are not likely to turn around unless we act obamacare is a direct attack on the middle class from the very start. it's a ticking time bomb today obamacare is a year's long hurdle towards collapse and rapidly approaching its seemingly inevitable conclusion. total meltdown, which would hurt even more americans on top of that it has hurt already we can't let that happen and we continue to work hard to ensur that it doesn't. after extensive con sole tasults across the conference and intensive conversations with members, our conference has updated last month's better care discussion draft with additional provisions to make it stronger we just walk through that reverend advis revised draft. >> you can see president trump there and french president macron taking their places at the two podiums for their news conference, which is scheduled to begin in just a few moments you can see the rest of the folks there filing into the room a relationship that got off to a somewhat awkward start there was the handshake deal and then the comments from the french president as well we're going to listen in here as well. >> translator: i was very pleased to be able to welcome president trump and his powers to date. he accepted the invitation i extended a couple of weeks ago in order to invite him to join the ceremonies of the 14th of july tomorrow. i think it's both a symbol and very important that the president of the united states could be with us tomorrow on the occasion of national day and attend a military parade which -- to which the american troops will take part. we will be also commemorating the 100th anniversary of the american troops joining world war i with the allies in france. i think it is important because beyond daily news, we'll live in countries with roots that are deeper and go further and beyond who we are so the presence and excellent thing for the history of both our countries. and we started by sharing part of our museum and then had a workingsession and i shall say that i'm extremely pleased about it we have been able to talk about a number of topics of joint interest and underlined convictions and most importantly joined a road map in order to work together in the coming month. we agreed to implement a free and fair trade and in the field and this is what the g20 in hamburg was expressed in terms of sensitivity we want to work together in order to implement some efficient measures to tackle new information that we have and making sure that both the european unions and the united states can take the necessary measures in order to protect within the context of free trade but a free fair trade that we can protect all of the sectors of activities where we can active we then had a long discussion which enabled us to cover all of the topics of international policies and the challenges for the security challenges for our people as well when it comes to fighting terrorism from day one, i can say that we've been strongly determined to take necessary measures to root out terrorism and eradicate it and particularly the narrative on the internet, we agreed to strengthen our action in our cooperation in fighting against propaganda we want to get all the major operators to limit the propaganda and also tackle cybercriminality these topics, i believe, are fundamental. and i do hope that we can strengthen the cooperation between both our countries and it is with a lot of satisfaction that i heard from president trump the very same approach and all services will therefore be working together in the coming weeks and months to have a solid action map for that. regarding the situation in iraq and in syria, here again, we agreed to continue to work together in particular in order to be able to launch together some diplomatic initiatives in order to put in place a road map for what will come after the war. we talked about our role and initially we want to bring a contact group in order to be more efficient in order to be able to support what is being done by the united nations in order to support the political road map in particular for syria after the war. it is important to put in place inclusive political solutions for that period of time. we know where the destabilization comes from the road map will take care of that we'll cover it and ask our diplomats and staff to work on it so in the coming weeks critical initiatives can be taken and supported and we share the same intention regarding libya and, like i told president trump, i very much want to take a number of diplomatic initiatives trump wants given the situation that we know and which requires more stability and better control over the region be it libya, i think i can say that we have the same vision, very coherent understanding of the situation in the region and the same willingness to act against any form of terrorism and destabilization. next, climate. well, here we knew what our disagreements are. we have expressed them on a number of occasion but i think it is important that we can continue to talk about it. i very much respect the decision taken by president trump he will work upon implementing his campaign promises and as far as i'm concerned, i remain attached to the paris accord and will make sure that step by step we can do everything which is in the accord ladies and gentlemen, this is, in summary, what we'll be talking about. we'll continue with a friendly tone and a formal one this evening regarding trade and security for both our countries, the fight against terrorism, stability in the middle east, libya and i can say that we have a say that we have a shared determination. the united states is extremely involved in the iraq war and i'd like to thank president trump for everything that's been done by the american troops against this background. but i would like him to know that i am fully determined to act together with him in this respect. fully determined i very much want both our countries in these matters to increase their cooperation in the coming month because the threat we are facing is a global one. the enemies, our enemies are trying to destabilize us by any way. and i believe this is very much at the heart of the historic alliance between our two countries and which fully justifies the presence of president trump today and tomorrow in paris. thank you. thank you, dear donald thank you. >> well, thank you very much, president macron melania and i are thrilled to join us and mrs. macron. this is a wonderful national celebration, and we look very much forward to it it will be spectacular tomorrow bastille day we're honored to be here in your beautiful country. and it certainly is a beautiful country. with its proud history and its magnificent people and thank you for the tour of some of the most incredible buildings anywhere in the world. i was very, very -- a very beautiful thing to see thank you. when the french people rose up and stormed the bastille, it changed the course of human history. our two nations are forever joined together by the spirit of revolution and the fight for freedom. france is america's first and oldest ally. a lot of people don't know that. ever since general lafayette joined the american fight for independence, our fates and fortunes have been tied unequivocally together it was a long time ago, but we are together and i think together perhaps more so than ever. the relationship is very good. this visit also commemorates another milestone. one century ago the united states entered world war i and when the president called me, he had mentioned that fact 100 years ago. and that was -- i said, mr. president, i will be there that's a big, important date 100 years. we remember the tens of thousands of americans who gave their lives in that valiant and very difficult struggle. we also pay tribute to the heroic deeds of the french troops whose courage at the battle of marn and countless other battles will never be forgotten by us. more than 1 million french soldiers laid down their lives in defense of liberty. their sacrifices an eternal tribute to france and to freedom. french and american patriots have fought together, bled together, and died together in the fight for our countries and our civilizations. today we face new threats from rogue regimes like north korea, iran, and syria and the governments that finance and support them we also face grave threats from terrorist organizations that wage war on innocent lives tomorrow will mark one year since a joyous bastille day celebration in nice turned into a massacre we all remember that, how horrible that was. we mourn the 86 lives that were stolen, and we pray for their loved ones we also renew our resolve to stand united against these enemies of humanity and to strip them of their territory, their funding, their networks, and ideological support. today president macron and myself discussed how we can strengthen our vital security partnerships we just had a meeting with our generals and our representatives, and it went very well. france has excellent counterterrorism capabilities. the french troops are serving bravely in places like mali to defeat these forces of murder and destruction. the united states and our allies strengthen our commitments to defeat terrorism we're also making tremendous progress earlier this week with the strong support of the united states and the global coalition iraq forces liberated the city of mosul from isis control now we must work with the government of iraq and our partners and allies in the region to consolidate the gains and ensure that the victory stays a victory. unlike the last time last week the g20 leaders also reaffirmed the right for sovereign nations to control their borders. we must be strong from within to defend ourselves from threats from the outside the nations of the west also face domestic challenges of our own creation, including vast government bureaucracy that saps the strength from our economies and from our societies for this reason i applaud president macron on his courageous call for that less bureaucracy. that's a good chant. less bureaucracy we can use it too. and the europe that protects its citizens we did not become great through regulation and in the united states, mr. president, we also have cut regulations at a level that we've never seen before. so we're very proud of that. over the last six months but by allowing our people to follow their dreams. that's what it's all about to achieve these dreams, however, we must also confront unfair trade practices that hurt our workers and pursue trade deals that are reciprocal and fair both president macron and i understand our responsibility to prioritize the interests of our countries and at the same time to be respectful of the world in which we live. we live in a very complex world. we have to respect it. the united states remains committed to being a leader in environmental protection while we advance energy security and economic growth. the friendship between our two nations and ourselves, i might add, is unbreakable. our occasional disagreements are nothing compared to the immortal bonds of culture, destiny, and liberty that unite us, so strongly unite us also as long as we have pride in who we are, where we've come from, how we got here, and what we've achieved as free and democratic nations, then there is nothing we cannot establish together france helped us secure our independence a lot of people forget in the american revolution thousands of french soldiers fought alongside american troops so that as lafayette said liberty would have a country ever since then courageous heroes from both nations have fought for the same noble values and the same righteous cause tomorrow the french tricolor will once again waveproudly alongside the american stars and stripes. our brave soldiers will march side by side and we will all be inspired to protect and cherish the birthright of freedom. that our ancestors won for us with their sweat and with their blood. president macron, thank you for inviting melania and myself to this historic celebration and to you and your spectacular country. may god bless france and may god bless america. thank you very much. thank you. thank you, mr. president >> thank you >> translator: very well i think we will be taking four questions. neither president trump nor myself have a microphone >> mr. president -- >> he's getting the first question president? >> translator: a question from lci. a question for president macron regarding what you said on the occasion of the press conference together with chancellor merkel. do you still hope that president trump, or did you still hope that president trump could change his mind regarding the paris accord and now president trump, is it possible for you to come back to the paris accord and change your mind next, regarding your relations how would you describe it today? what about the dinner tonight? is it going to be a dinner between friends? >> translator: well, regarding climate, well, we have a number of disagreements which are in particular due to the commitments taken by president trump vis-a-vis his -- during the presidential campaign. so did i i'm aware of how important that is but we therefore talked about our disagreement and we actually discussed the matter even before president trump reached a decision next issue that should have an impact on the discussions we're having on all other topics, no, absolutely not this is the reason why we share the same views and some major common goals on many other topics or al