Its tablets. And we want our money back for those useless obamacare exchanges. We should shoot this on go broke, will we get a cut for all the free advertising . Varney and company is about to begin. Check the big board as we kick off varney and companys first hour. We are down 26 points, we were down 60. We have home depot, profit disappointing. We use this as a kind of Economic Indicator. Home depot saying that Housing Slowdown really hurt it, nonetheless home depot is up 2. 5 . Figure that one out, it isnt known to dollars, i thought this was down. Staples expects a decline sales, shoppers are going online going to the competition ensure enough that staples taking a hit. 11 down, big hit. Another retailer hurting, Dicks Sporting Goods cut its profit forecast, dicks down 15 . Got to wrap up the market coverage at the top of the show with this, the yield on the ten year treasury staying right around 2. 5 . That is significant, that is a very low level. That is markets. Have a billion dollars in taxpayer money wasted on four failed obamacare exchanges. Republican senator has of bill that would require states to pay that money back to the feds. He joins us from capitol hill. You havent got a prayer. These dates are run by democrats and there is no way president obama will demand money back from democrats states, is there . The american taxpayer wants the money back. We know these exchanges are in shambles, fatally crippled, there is an fbi investigation going into mismanagement and taxpayers deserve accountability from their government. This healthcare law is fatally flawed and the american taxpayers, so much money is wasted. All of this money, 400 million is not going to help one person get health care, it is going to contractors and others, the American Public deserves better than theyre getting from this administration. Stuart the president said further debate in obamacare is pointless. He used that word. It is pointless. Yet we have a new political polls but shows 60 of voters believe the debate on obamacare is not over and should continue into the 2014 elections. Am i to infer from this that the president doesnt want this to be debated but it will be debated and it is accused event coming up for the elections this year . It is Wishful Thinking on the part of the president to say the obamacare debate is over. I will tell you is this is the issue that is on the minds of voters around the country. I see at home in wyoming. People realize they are paying more in spite of the president s promises. Many are unable to keep their doctors, seeing wasted taxpayer dollars. A Persons Health is the most personal thing there is in their life and i think it will be a very hotbutton issue for the Elections Come november. 90 of americans in that politico poll says their vote will be depended on the healthcare law. Stuart 90 said the vote in november is all about obamacare. Astonishing thing. Comments and two developments this week. Front page of the Washington Post saturday, 1 Million People may have cheated on declaring their income in order to get big subsidies for obamacare. That is point number 1. Study out of chicago, ill. Study out of michigan said that newly enrolled medicaid patients were more expensive to treat than had been first thought. Obamacare, a lot of cheating and obamacare wildly expensive. Your comments on this. Even those who may have made a mistake on their income information there is no way on the web site to fix it. That talking about not going into the fix until the end of the summer so even people trying to right a wrong it is impossible to deal with and the issue of medicaid which is what the president sees as the solution to health care, it is empty coverage for many people, many doctors dont want to take care of people on medicaid because it pays so little land what we are seeing from this report is hospitals are noticing it is much more expensive to take care of a number of these patients in terms of postoperative infections, pneumonia, recovery time, longer hospitalizations and when theyre getting paid much less hospitals are now saying we dont want to deal with patients on medicaid so the president is promising empty coverage rather than deliver actual care to patients and as a doctor that is what i am focused on. Affordable available highquality care. Stuart when you are indeed a doctor and your input on this subject is valuable to us. Thanks for joining us. Back to the markets, we have found a winner. Restaurant chain, red robin. I have never eaten there. Nicole red robin gourmet burgers. I have never eaten there. We should put that on the varney and company list of things to do. Stock is up 12 , casual dining sector, they have seen traffic on the rise up 1 2 , not bad considering what some of the other casual diners came in with First Quarter numbers that were better, samestore sales rose over 5 , revenue on the rise, more demand, cutting the margin. The big deal is the checks people are paying are more. Increased check size of people are going there and ordering more, adding it. Stuart ed butowksi lives in texas. I did big in texas . I will tell you the al ng is on the rise. Omenal burgers. No one has any money, mias well gooasual ng place. Of 12 . Tas the sck for the year, stilted downside t ware seeing stock up 12 at 71. 31. Stuart a big plus om evy contributin to the redobindebate. Football ratinging, we know that and by the way we we right, at t does note direct tv unless those nfl games ce with it. Right now at t a direc is negotiating with the nfl on a neunday ticket contract withliv rectv gets 1 billion a year for the rhts to football. Ed bi stiller youanagon for nfl we sa at alall about livepoingventatch at is tut of sports. T comes together at all thearties and everhingent t, n sayg it is a donel, talbout carefuboutdires but it is interng this at ealitdirectv directv and ading up to that. It is added t. On thi the are any otitors coming a lot of ti whee mpans taken over fac someonelse will compete but thers noiscuion out this ha in the woror three months, thi dl wi getone or it will not get de. Sart theot the suny ket, majorleague ball, li games, basketball, some soccer,ndllf this now on direct tv playabl selte. All of that, e orng live , f would go toellpnes may be, tablets may be, as we said yesterday een to your car becauts wiring your car. This is setnghat is very near aear t me because hadt tn my office, dictv and r prices will come down. I think cable bun this up, stuart bdlin is wildly unpopular. Suppose they did n bdle sports pkage and on your cellphone or your tablets all yo gets what you pay for which would be if you wanit the le sporting e gives you the flexibility. They lost the model have it ur way, youan have it your way with directv. You can buy a bunedservices but the deal will get done. It wil wor on the things, lot of people involved, they ew ts would g don there are a couple turtles around it but it is sti spooky as to why it is not trading, direct tv,tay away from it. If you are thinking of shorting that stocks dont do it. Stuart i would think about buying at t because buying directv insures their dividends, 36 a share, the dividend is 5 . I golan at t. It scares me. Stuart we always show you a free advertising, the growth pro receives. The company is going public. Of to raise 100 million in idea. It is a great product. All this free advertising, we run it but go perot is a one trick pony. Stuart all they do is make this camera and they will raise only 100 million. You wouldnt buy that . Barriers to entry in this market, anyone can get into this market and you will see more people coming to lead. Another thing is normally when a Company Wants to liquidate and get their cash out they do a private transaction. No one in their right mind wants to ipo these days because the stock is held up. The founders of this company have certain laws and rules that will never get their cash out for five or six years. Nobody wanted to buy them. I wouldnt because their earnings are deteriorating a little bit and you dont see this as a Company People want to buy and they probably were shopping around for a long time. Lets go public and see if a lot of individuals will buy shares of stock. Stuart the founder and his wife are 50 . If i was advising them take a lower price, sell it privately and the longer merry way. Stuart theyre going to anyway. Another troubling sign for the Housing Market, nearly million households owe more on their mortgage than their home is worth. One in five homeowners across the country underwater six years after the crash. We have some startling numbers after this break. Check out the video from wyoming. What you are seeing is time lapse footage of the supercell thunderstorm capable of truly violent winds, a very large hail, isnt that an ominous cloud . A video that sells the story. Hi, are we still on for tomorrow . Tomorrow. Quick look at the weather. Nice day, beautiful tomorrow. Tomorrow is full of promise. We can come back tomorrrow. And we promise to keep it that way. Driven to preserve the environment, csx moves a ton of freight nearly 450 miles on one gallon of fuel. What a day. Cant wait til tomorrow. Now printing is so affordable and convenient, you can print all you want. Hp instant ink. Save on ink and never run out again. Plans start at just 2. 99 a month. Welcome to the future of printing. To build something smarter. Some come here to build something stronger. Others come to build something faster. Something safer. Something greener. Something the whole world can share. People come to boeing to do many different things. But its always about the very thing we do best. Stuart i wouldnt call this a selloff by any means. This is a mere loss of 33 points. 30 years ago that would have been a selloff. We could have done a 1hour special on the 33 point drop. Individual stocks, microsoft for example, it is in new york city, expected to update the surface tablet. En tweeting as it declined 0. 06. A startling number on the housing for you. Close to 1fifth of u. S. Homeowners are underwater on their mortgage meaning they owe more than the house is worth, 10 million households. With americas financial, that is the terrible number, six years after the housing crash, still have one in five people who are under water. What is the problem . Shouldnt be a surprise when you look at how many people have jobs. Declining percentage of the population is employed. Fewer people have jobs floating homes. Look at the savings rate which is under 4 . Worse than it was in the 1930s, one of the worst numbers of the last 81 years of recorded history. Stuart you are saying this for situation in housing is flat wind essentially. We were doing okay and now is flat wind. That is directly related to slow growth in the economy and employment situation. It is economy related. Is it any surprise when you saw how high homeownership became, it is too hi, we had a fuel by fannie and freddie to get Home Ownership up above what it should have been so the homeownership rates have to decline. How do you get more people buying homes so they cant get jobs . Bucket Student Loans. We have delinquencies on Student Loans rising and exploding level of student debt. Wonder why . Were graduating more kids with degrees in philosophy than engineering, math or any kind of physics. Stuart that is a rotten statistic. At least with philosophy majors win wont feel bad about how awful the economy is. Stuart that was sarcasm. Do you think it is a cultural shift . In my day the American Dream was you got a job, save you money and bought your first house, that was the American Dream. Has that changed . The millennials for reasons i dont understand are quite unlike other generations who couldnt get out with my land that, theyre comfortable staying home and go to the same stores and watch the same programs. Stuart this is a terrible thing for the young people because a home i think is still a great store of value. Am i right . There was a report last week were trying to relax the applications to allow people again to get homes at an easier rate. Stuart when they didnt go back to that. Wanted to loosen up the credit score. You could have a lower credit score and get a loan or loosen up the down payment. With rates as low as they are that is another thing that is shocking. We are seeing these numbers. The points you are making are excellent. It has a lot to do with people just dont have money. New household formations is out all time lows. It is terrible. In part because the millennials are perfectly comfortable staying at home and how can they even think about buying a home when saddled with massive debts . Look at the student loan problem, what the tuition costs are before we the tail wagging the dog when talking about getting housing going. And they have an unbelievable number of debt. Stuart what would you say to youngster fresh out of college that got some student debt around their neck, but have a wife or spouse or partner. What would you say to them . Depends on a situation. Not everyone should own a home. It can be a terrible monkey on your back. Stuart when you are part of this cultural switch . Across the board demographics across the board, 30 think renting a home is better than owning. We learned the lesson too many homeowners you cant move around. We need a new job, financial circumstances change. I once looking at the numbers and saying you cant afford it dont buy it, the government should take a lesson from her. If you cant afford something you cant buy it. We agree on that. I want homeownership but not at any price, not just for the sake of owning a home. Stuart all right, financial adviser, you made your point. Thank you very much. Thank you. We have some breaking news. Can you believe this . More recalls for General Motors announcing just now recalling 2. 4 million vehicles in four separate recalls. Havent got the details yet. That is justin. Another 2. 2 million vehicles, six different models we understand, four separate i am losing track. There wont be any cause on the road. Everyone is recalling the cars. Stuart 33 a share, that stock hasnt moved, 3390 to 35 a share it hasnt moved despite the recalls and losses and the rest of it. Which bubbles . Chevy i lost track. Malibu. I am hearing malibu. I know that one. They are going to recall everything. That is a fear on every level. Stuart that is a tough situation. I you going to stick to housing . I would not want to be the ceo. She might be rethinking that decision. Stuart thanks. Allstar trial lawyer mark lanier, the man you hate to love, appearing for a whole hour on varney yesterday. Your reaction from facebook and twitter after this. No matter what kind of business you own, at t Business Experts can help keep it running. Seamlessly. So you can get back to what you love. When everyone and everything works together, business just sings. What is this place . Where are we . This is where we bring together the Fastest Internet and the best in entertainment. We call it the x1 entertainment operating system. It looks like the future he has a phaser its not a phaser its my phone he can use his voice to control the tv. You can use your woice . My voice. Your woice. My voice. Vuh, voice. His voice. Your woice . Look. Watch scifi. [ female announcer ] the x1 entertainment operating system, only from xfinity. Stuart i watch you whether or imus show or not. Stuart i took your side on a legal thing. I have never done that before. I will take your side on almost everything because i generally do we your generally right. Stuart have you ever sued microsoft . Oh yes. Stuart when you are off the show. It is profound a gentleman in the late 50s he is able to turn around on an issue like this. Judge napolitano what you talking about a gentleman in his late 50s . Stuart i am well into my mid to made 60s. You live like an need to go on tv and tell the story. Stuart i think i did tell a lie later on. Some of the highlights from saw our we spent with trial lawyer mark lanier and here are your comments. Jerry says i would not listen to and englishmen. Apparently we didnt run it but we were discussing my grapefruit smoked salmon and whole wheat toast breakfast diet. We were discussing that. We did discuss it. Kevin asks this about my morning breakfast. No herring . Very funny. What you are referring to is the kipper, that is a smoked herring and it is beaten in scotland, not so much in england. Consuela adding this. I like your breakfast but you should be more of the usual breakfast food like eggs, bacon or potato pancakes. Thank you for the suggestion but i am just fine. My heart is in Good Condition with grapefruit and smoked salmon which has been my routine for 50 years. I like to think this is what energizes me and gets ready for this extravaganza we call varney and company and a gallon of black coffee really helps. Hold on. Breaking news from microsoft, the new products, the surface pro tablet iii, bigger screen, it has not multi position kickstand. There is the selling point, a stylist pen. What would steve jobs say to that . We are making that announcement moments ago, the stock hasnt moved to the. Would you join me in welcoming microsoft . We had so much cash, no. I would like to say im a big microsoft believe, i am just not and this new edition sounds interesting because that is where they are all going. I hope that stock goes up but we are not behind it. Stuart steve jobs would not entertain the idea of a stylist pen. He would not. I dont know what you would do, i can sign things all the time. Stuart what a pleasure having you on the show. Two visions of Corporate Tax reform. One for the democrats, another from the republicans. I think you know which one makes more sense. This is my opinion, we go to capitol hill after this. [ in shouting ] [ instin shoing ] [ ma annncer timend ses da. [ splitsecond sta. [ indistinct shouting ] its so close to the oloor. [ instin shoing, bell dinging ]. Yst your brain box. All on thinkorswim freritrade. Stuart check the big board, please. We are down 42 points. We have some big names that are moving. Amazon, google, tesla, nissan. A modest bounce back today. Bricks and mortar companies, i should say retailers, some of them are taking a hit today. Nicole retail really out of favor today. Dicks Sporting Goods good and Urban Outfitters are down. The theme seems to be customer traffic. Talk