Iran threatens to surpass nuclear deal limits in 10 days


NEIL: ALL RIGHT. THIS IS ONE OF THOSE ABBOTT AND COSTELLO MOMENTS WHERE IRAN ALWAYS ARGUED WE DON’T HAVE ANY NUCLEAR PRODUCTION GOING ON BUT THEY ARE ALREADY PROMISING TO RAMP IT UP NOW THAT WE RIPPED UP THE DEAL. YOU DO THAT THINK BUT YOU SAID YOU DIDN’T HAVE NUCLEAR — I KNOW. NOI. I’M DONE. WE HAVE THE HOUSE ARMED SERVICES COMMITTEE MEMBER, OHIO REPUBLICAN CONGRESSMAN MIKE TURNER HERE IN THE FLESH. GOOD TO HAVE YOU, SIR.>>THANK YOU. NEIL: THEY ARE BRAGGING ABOUT WE ARE GOING TO EXCEED THE LIMITS, BREAK THIS DEAL. THAT’S ALL BUT A GIVEN. WHAT DO YOU THINK?>>WELL, I JUST RECENTLY MET WITH THE LEAD INSPECTOR WITH THE INTERNATIONAL ATOMIC ENERGY AGENCY THAT’S OVER THE DEAL WITH IRAN. IRAN HAS BEEN DOING A NUMBER OF THINGS THAT ARE APPROACHING OR PREPARING FOR BREAKING THE DEAL, ALL IN DIRECT OBSERVATION OF THE IAEA. IT’S SOMEWHAT BEEN ANTICIPATED THEY WERE GOING TO BE GOING DOWN THIS PATH. AS YOU KNOW, THE DEAL ITSELF HAD THREE MAJOR FLAWS. IT WAS LIMITED IN ITS TIME PERIOD, MEANING THERE WERE THINGS THEY WERE GOING TO BE ABLE TO DO ANYWAY IN TEN YEARS WHEN THE DEAL HAD BEEN CONSTRUCTED, IT DID NOT INCLUDE MISSILES, DID NOT INCLUDE MALIGN ACTIVITIES THE ADMINISTRATION HAS BEEN CONCERNED ABOUT AND IT ALSO HAD A VERY LIMITED INSPECTION REGIME. THAT’S WHY THE ADMINISTRATION THROUGH A MAXIMUM PRESSURE CAMPAIGN HAS BEEN TRYING TO BRING IRAN BACK TO THE TABLE TO RENEGOTIATE THIS DEAL. CLEARLY, AS IRAN CONTINUES TO ESCALATE ITS ACTIVITIES IN THE AREA, IT’S BRINGING IT CLOSER AND CLOSER TO EVERYONE REALIZING THE DEAL IS PROBABLY NOT GOING TO BE RENEGOTIATED AND CONSEQUENTLY — NEIL: THEY RAMP IT UP. ARE YOU CONCERNED THAT WAIT A MINUTE, FAULTY OR PROBLEMATIC AS THE DEAL WAS, AT LEAST SOMETHING HELD IT TOGETHER. NOW THERE’S NO SWISS CHEESE, NOTHING.>>WELL, IRAN CLAIMED THEY WERE GOING TO COMPLY WITH THE DEAL AS LONG AS THE EUROPEANS COMPLIED WITH THE DEAL. THEY ARE GOING TO HAVE SOME EXPLAINING TO DO AS TO WHY THEY WOULD BE NOW BREAKING A DEAL THEY HAD COMMITTED THEMSELVES TO. BUT THE DEAL ITSELF IS FLAWED. THEY WOULD HAVE HAD A PATH THAT WOULD HAVE — WE WOULD HAVE BEEN FACING A NUCLEAR IRAN SO IT’S VERY TIMELY THAT WE BRING THIS FORWARD AND WITH POMPEO AND THE ADMINISTRATION’S MAXIMUM PRESSURE CAMPAIGN. I DO THINK THERE’S OPPORTUNITIES FOR ALLIES OF THE UNITED STATES AND IRAN TO COME TO THE TABLE. IT MAY GET NOISY FOR AWHILE BUT I THINK IF OUR ALLIES COME TO THE TABLE WITH US, IRAN SHOULD BE ABLE TO COME TO THE TABLE. NLT NEIL: ON THAT FRONT, YOU DON’T DOUBT THE EVIDENCE OUT THERE THAT IRAN WAS AND IS BEHIND THESE TANKER ATTACKS AND OTHER THINGS? I MEAN, SOME OF OUR ALLIES APPARENTLY WANT MORE PROOF. WHAT IS IT?>>I DON’T. I THINK, YOU KNOW, ONE OF THE QUESTIONS YOU HAVE TO ASK YOURSELF IS WHO ELSE IN THE AREA WOULD HAVE BEEN DOING IT AND WHO ELSE IN THE AREA HAS THE MEANS TO DO IT. NEIL: THE CYNICAL VIEW IS SOMEONE COULD SET IT UP TO MAKE IT LOOK LIKE THEM.>>THESE ARE FAIRLY SOPHISTICATED ATTACKS. NEIL: WHY WOULD THEY DO THAT? WHY RISK OUR WRATH?>>THEY WERE ALREADY DOING COVERT MALIGN ACTIVITIES IN THE AREA. THIS IS THE FIRST TIME THEY ARE SORT OF SURFACING AS BEING EVIDENCED, AS DOING THESE ACTIVITIES, A CLEAR DOTTED LINE. I THINK IT’S CLEARLY TO SHOW THE INTERNATIONAL COMMUNITY THAT THEY DO INTEND TO THROUGH AGGRESSION AND ATTACKS IN THE AREA, CALL ATTENTION TO THE INTERNATIONAL COMMUNITY, THEIR DISPLEASURE THAT THEIR ECONOMY IS TANKING, IT’S NOT GROWING AS A RESULT OF U.S. SANCTIONS. THEY ARE HAVING GREAT DIFFICULTY IN CONVINCING ANYBODY TO INVEST IN IRAN. THEY ARE NOT A VERY GOOD BUSINESS PARTNER. NEIL: CHINA COZYING UP TO RUSSIA, I KNOW MIKE POMPEO, SECRETARY OF STATE, IS SAYING THE ADMINISTRATION IS CONSIDERING A FULL RANGE OF OPTIONS ON IRAN. DO YOU KNOW WHETHER AN OUTRIGHT ATTACK IS AMONG THEM?>>YOU KNOW, I THINK THE SECRETARY HAS RIGHTLY SAID MILITARY OPTIONS WILL BE PRESERVED BUT AT THE SAME TIME — NEIL: NOT MILITARY OPTIONS ALONE.>>RIGHT. IF YOU ONLY LOOK AT THE ISSUES OF IF IRAN SHOULD ATTACK OUR ALLIES, OR ATTACK THE UNITED STATES, WE JUST RECENTLY IN THE ARMED SERVICES COMMITTEE HAD A DEBATE, THE DEMOCRATS BROUGHT FORWARD AN AMENDMENT THAT WOULD HAVE PROHIBITED ANY MILITARY ACTION OR RESPONSE TO IRAN. THIS WOULDN’T EVEN ALLOW US TO PROTECT ISRAEL OR TO PROTECT OUR NATO ALLIES. I THINK — NEIL: THEY PULLED THAT.>>RO KHANNA FROM CALIFORNIA. NEIL: SOMEONE MUST HAVE GOTTEN IT.>>ONCE WE BEGAN HAVING THE DEBATE AND THE CHAIRMAN SAW THE DIFFICULTIES THIS AMENDMENT WOULD HAVE PROHIBITED OPTIONS FOR THE UNITED STATES, TOOK IT OFF THE TABLE. WE WILL HAVE THAT DEBATE AGAIN AS IT COMES, AS THE BILL COMES TO THE HOUSE FLOOR. BUT I THINK POMPEO THROUGH HIS MAXIMUM PRESSURE CAMPAIGN IS USING ALL OPTIONS OF SANCTIONS, WORKING WITH ALLIES, WORKING WITH OUR INTERNATIONAL PARTNERS TO PLACE PRESSURE ON IRAN AND THAT’S CERTAINLY THE WAY TO GO. NEIL: SANCTIONS IS THE WAY TO GO RIGHT NOW.>>AT THIS POINT, EVEN THE SANCTIONS ARE INCREASING, TIGHTENING, AND THAT I THINK

Trump considers sending illegal immigrants to sanctuary cities


NEIL: THE PRESIDENT SAYS IT WAS HIS IDEA, TWEETING THAT HE WAS GIVING AND IS CONTINUING TO GIVE STRONG CONSIDERATION TO PLACING ILLEGALS IN SANCTUARY CITIES. GOVERNOR SCOTT WALKER JOINS US NOW. GOOD TO HAVE YOU.>> GREAT TO BE BACK. THANKS FOR HAVING ME ON. NEIL: THANK YOU. WHAT DO YOU THINK OF THE PRESIDENT’S IDEA?>>WELL, I THINK HE’S JUST TRYING TO DRAW ATTENTION TO THE FACT JUST HOW SERIOUS THIS CRISIS IS AT THE BORDER. MY GOODNESS, YOU EVEN HAD BARACK OBAMA’S FORMER SECRETARY OF HOMELAND SECURITY ACKNOWLEDGING THAT IS A HUMANITARIAN CRISIS BUT I THINK IN DIFFERENT PARTS OF THE COUNTRY, PEOPLE DON’T FULLY APPRECIATE JUST WHAT A BIG DEAL THIS IS, PARTICULARLY WHEN IT COMES TO THE BORDER. YOU’RE TALKING ABOUT NOT JUST IMMIGRATION, REALLY TALKING ABOUT TRAFFICKING OF HUMANS, TRAFFICKING IN FIREARMS, TRAFFICKING IN DRUGS. THOSE ARE THINGS THAT ARE IN FEFTING ALL PARTS OF AMERICA, NOT JUST THOSE STATES ADJOINING THE SOUTHERN BORDER. NEIL: YOU DON’T THINK HE WAS CALLING THEIR BLUFF?>>WELL, I THINK THAT’S JUST IT. YOU KNOW, IN THE PAST, I REMEMBER YEARS AGO WHEN WE WERE PUSHING — WHEN I WAS A LAWMAKER A LONG TIME AGO, WHEN WE POINTED OUT AS A MATTER OF AN ARGUMENT, WE WERE TRYING TO FIGURE OUT WHAT TO DO WITH PERENNIAL SEX OFFENDERS AND THERE WERE SOME PEOPLE THAT WANTED TO LET THEM OUT IN THE COMMUNITIES, WE SAID WHY DON’T WE PUT THEM IN THE NEIGHBORHOODS WHERE THOSE PEOPLE WHO ARE ADVOCATING FOR THAT. OBVIOUSLY WE DIDN’T DO THAT BUT IT WAS TO MAKE A POINT THAT, YOU KNOW, PEOPLE SAY IT’S NOT AN ISSUE WHEN IT’S NOT IN THEIR OWN BACKYARD. THE FACT OF THE MATTER IS IF WE DON’T DO SOMETHING ABOUT THIS CRISIS, IT’S GOING TO CONTINUE TO BE A PROBLEM. IN MILWAUKEE AND EVERY URBAN AREA, IN FACT, INCREASINGLY IN SUBURBAN AND RURAL AREAS. YOU LOOK AT THE DRUG PROBLEMS ALONE, THOSE ARE ISSUES THAT ARE HAPPENING BY AND LARGE THROUGH OUR SOUTHERN BORDER. THIS IS SOMETHING THAT ISN’T NEW. JUST WE FINALLY HAVE A PRESIDENT WHO IS WILLING TO DO MORE THAN JUST TALK ABOUT IT BUT DO SOMETHING ABOUT IT. NEIL: IT’S INTERESTING, NO ONE REALLY EXPECTED THAT DONALD TRUMP WOULD CARRY WISCONSIN. YOU CAMPAIGNED VERY HARD FOR HIM. OBVIOUSLY THE PRESIDENT DID AS WELL, HE WON BY 23,000 VOTES OVER HILLARY CLINTON, OVER I THINK CLOSE TO THREE MILLION CAST. YOU THINK HE CAN DO THAT AGAIN OR ARE POLLS DIFFERENT NOW?>>I THINK IT’S GOING TO BE INCREDIBLY DIFFICULT. IT WAS A COMBINATION OF DONALD TRUMP, THEN CANDIDATE, WAS REALLY SPEAKING TO A LOT OF PEOPLE WHO FELT FORGOTTEN BY WASHINGTON, THE FORGOTTEN MEN AND WOMEN OF OUR STATE, AND ALL THROUGHOUT THE MIDWEST, FOR THAT MATTER ACROSS THE COUNTRY, COMBINED WITH THE FACT THAT HILLARY CLINTON, YOU MIGHT REMEMBER, AFTER SHE LOST THE PRIMARY IN WISCONSIN, NEVER CAME BACK. I BELIEVE SHE DIDN’T COME BACK TO MICHIGAN, EITHER. AND PEOPLE IN THE MIDWEST, IN PARTICULAR, THEY ACTUALLY WANT TO BE TREATED WELL, THEY WANT THE CANDIDATE TO REACH OUT AND TALK TO THEM. DEMOCRATS AREN’T GOING TO MAKE THAT MISTAKE AGAIN. BUT I THINK THIS RACE IS THE DIFFERENCE BETWEEN MORE FREEDOM AND MORE PROSPERITY VERSUS LESS AND THAT’S WHAT YOU GET WITH A SOCIALIST AGENDA, WHETHER IT’S BERNIE SANDERS OR ANY OF THE OTHERS TALKING OUT THERE, THEY ARE MOVING FURTHER AND FURTHER TO THE LEFT. I THINK IF PEOPLE REALIZE WE DON’T WANT TO BE LIKE VENEZUELA, WE WANT TO BE LIKE AMERICA, AND I THINK THAT’S A MESSAGE THAT CAN CARRY THE STATE AND CARRY THE COUNTRY. NEIL: YOU MENTIONED WHAT’S GOING ON IN THE MIDWEST AS WELL AND THE STATES THE PRESIDENT WON. A LITTLE OVER 70,000 VOTES, I BELIEVE, TIPPED THE ELECTORAL MAP IN HIS FAVOR BY WINNING STATES LIKE OHIO AND PENNSYLVANIA AND OF COURSE, YOUR FINE STATE, WHATHAVE YOU. OTHER POLLS SEEM TO SAY THE PRESIDENT IS AT BEST COMPETITIVE IF NOT LOSING IN THOSE STATES. I DON’T KNOW WHERE HE WOULD GAIN GROUND ELSEWHERE. I WILL GO TO YOUR POINT, I MEAN, IT DEPENDS ON WHO THE DEMOCRATS NOMINATE BUT THEY ARE GOING TO VIRTUALLY LIVE IN THOSE ELECTORAL BATTLEGROUND STATES. YOU THINK THE PRESIDENT SHOULD AS WELL?>>OH, YEAH. HE’S BEEN HERE, HE’S BEEN IN MICHIGAN, HE’S BEEN ALL THROUGHOUT THE MIDWEST. WHEN YOU LOOK AT WHAT HE’S DONE FOR DAIRY FARMERS, WHAT HE’S DONE FOR WORKERS IN MANUFACTURING COMPANIES, WHAT HE’S DONE FOR TAXES, THE AVERAGE FAMILY IN OUR STATE, TWO PARENTS WORKING, TWO KIDS AT HOME, SAVES OVER $2500 BECAUSE OF HIS TAX CUT. WE DON’T NEARLY TALK ENOUGH ABOUT THAT. I ALSO THINK, YOU KNOW, THE MORE PEOPLE KNOW ABOUT WHOMEVER THE DEMOCRATS NOMINATE, THEY WILL HAVE THEIR CONVENTION RIGHT HERE IN MILWAUKEE THIS SUMMER, TO ME OBVIOUSLY THEY ARE NOT GOING TO DO THIS BUT THEIR BEST STRATEGY WILL BE NOT TO TELL US WHO THEIR NOMINEE IS UNTIL A WEEK BEFORE THE ELECTION BECAUSE THE MORE WE KNOW ABOUT THAT PERSON, HIM OR HER, THE MORE CONCERNS I THINK AMERICANS ARE GOING TO HAVE AND I THINK THAT’S WHERE THE RACE TIGHTENS UP. NEIL: THAT’S DEPENDING, YOU KNOW, WHETHER THEY GET TO WISCONSIN AND HAVE A NOMINEE. THE REASON WHY I’M DWELLING ON THIS, IT MAY BE A BIT TOO MUCH, I APOLOGIZE, IS THE IRONY COULD BE THAT THE ELECTORAL COLLEGE AT LEAST PROVIDES A WAY FOR CANDIDATES TO VISIT THESE BATTLEGROUND AND OTHER STATES, SMALL STATES, RATHER THAN IF IT WERE, YOU KNOW, IF YOU ARE A DEMOCRAT, IN CALIFORNIA OR NEW YORK OR IF YOU ARE REPUBLICAN, IN TEXAS OR ELSEWHERE. I’M WONDERING, IF THE IRONY IS JUST THAT, THEY MIGHT NOW JUST CAMP OUT, BOTH CANDIDATES, IN STATES LIKE YOURS.>>OH, I THINK THERE’S NO DOUBT ABOUT IT. YOU LOOK AT THE MIDWEST, THE PATH TO THE PRESIDENCY IN 2020 IS CLEARLY THROUGH STATES LIKE WISCONSIN, MICHIGAN, IOWA, OHIO. THERE’S A FEW OTHER OUTLIERS. FLORIDA WILL CERTAINLY BE IN THE MIX. THOSE WILL BE THE KEY BATTLEGROUND STATES. I THINK THE CONTRAST HAS GOT TO BE FREEDOM. FREE ENTERPRISE, MORE FREEDOM, MORE PROSPERITY FOR AMERICANS. IT’S WHY I HAVE BEEN SPEAKING OUT FOR EXAMPLE ON THIS WHOLE TALK ABOUT 5G AND NATIONALIZING THE SYSTEM WHICH I THINK WOULD BE A HUGE MISTAKE, NOT ONLY IN POLICY BUT POLITICALLY. WE SHOULD BE CONTRASTING THINGS BETWEEN WE DON’T WANT TO BE LIKE CHINA, WE DON’T WANT TO BE LIKE VENEZUELA, WE DON’T WANT TO BE LIKE PLACES THAT HAVE FAILED. WE WANT TO BE LIKE AMERICA. I THINK THE PRESIDENT WAS RIGHT ALL THE WAY BACK IN THE STATE OF THE UNION ADDRESS WHEN HE SAID WE WERE BORN FREE, WE WILL ALWAYS BE FREE, AMERICA WILL NEVER BE A SOCIALIST COUNTRY. BERNIE SANDERS AND THE LONG, LONG LIST OF OTHERS TRYING TO REPLICATE HIS AGENDA WANT TO PUSH AMERICA IN A SOCIALIST AGENDA. THAT PROMISES PROSPERITY BUT

The impact of Trump backing off on tariffs


AWAY, THAT THEY DON’T EVEN ATTEMPT TO DO THAT. THIS HAS GONE WAY FURTHER THAN THAT. WE’VE GOT DINENE BORELLI HERE, JOHN LONSKI, MAX BURNS. A QUICK PEEK AT THE CORNER OF WALL AND BROAD, I WANT TO GET YOUR GUYS’ THOUGHTS ON THAT, SO FAR OUR MARKETS ARE DEALING WITH IT. ONE THING THAT’S INTERESTING, JOHN, WE ARE DEALING WITH IT BECAUSE WE LIKE MAYBE THE TRADE BLINKING ON THE PART OF THE PRESIDENT, MADE THE TRADE OVERTURE ON HIS PART TO HELP THE CHINESE OR AT LEAST GIVE THEM SOMETHING TO AMELIORATE THIS HONG KONG, WHO KNOWS BUT IT DID PUT OFF TARIFFS ON SOME OF THE CHINESE IMPORTS THAT WERE GOING TO GO INTO EFFECT SEPTEMBER 1. THE MARKETS LIKE THAT.>>YOU CAN ALSO SAY TRUMP IS LISTENING TO THE MARKETS, YOU KNOW. HE WANTS TO KEEP THIS ECONOMY GROWING SO HE’S BACKING OFF A BIT ON THE TRADE FRONT. OF COURSE, THAT’S GOOD NEWS FOR U.S. EQUITIES. NEIL: WHAT DO YOU THINK OF THAT? IT COULD BE A GOOD OR BAD THING. WHAT DO YOU THINK?>>I THINK IT’S A GOOD THING. THE MARKET DID RESPOND BECAUSE OF THE ANNOUNCEMENT COMING FROM THE TRUMP ADMINISTRATION THAT THE TARIFFS, ADDITIONAL TARIFFS HAD BEEN SUSPENDED. SO REALLY, THIS GOES BACK TO THE PRESIDENT LOOKING OUT FOR THE FORGOTTEN MEN AND WOMEN IN AMERICA BECAUSE CHINA HAS BEEN GETTING AWAY WITH MANY, MANY YEARS OF CHEATING AND STEALING AND LYING AND NOW IT IS TIME TO CALL THEM OUT ON THEIR ACTIONS. NEIL: ALL RIGHT. BUT HE WAS THE ONE THAT MADE THIS OVERTURE, MAYBE FOR PERFECTLY SOUND AND VALID REASONS, THE MARKETS WERE GETTING WORRIED.>>WORRIED ABOUT THE SUSTAINABILITY OF THE CURRENT ECONOMIC RECOVERY. HE’S GOT TO KEEP THAT UNEMPLOYMENT RATE MOVING LOWER. NEIL: HE HAD TO KNOW THAT WOULD HAPPEN WHEN HE SUGGESTED THE TARIFFS IN THE FIRST PLACE.>>MAYBE HE THOUGHT THE RESPONSE WOULD HAVE BEEN MORE MUTED FOR WHATEVER REASON. BUT WHEN YOU HAVE MAJOR BANKS COMING OUT WITH UPWARDLY REVISED FORECASTS OF RECESSION RISK, YOU HAD THAT DROP IN TREASURY BOND YIELDS, MY GOODNESS, YESTERDAY FOR AWHILE, THE 30-YEAR TREASURY BOND YIELD WAS JUST UNDER THE FEDERAL FUNDS RATE. THAT’S RIDICULOUS. THAT SHOWS A LOT OF FRIGHT IN THE FINANCIAL MARKETS AS FAR AS THE OUTLOOK FOR THE U.S. ECONOMY. NEIL: AND GLOBALLY, RATES HAVE BEEN DECLINING. I’M WONDERING, DEMOCRATIC CANDIDATES MAYBE WITH THE EXCEPTION OF KAMALA HARRIS HAVE BEEN LARGELY SILENT ON THIS ISSUE. I THINK SHE WAS THE ONE WHO CAME FORWARD TO SAY IN THE LAST DEBATE THE FED HAD TO CUT RATES TO SORT OF CLEAN UP AFTER THE PRESIDENT, I’M PARAPHRASING, AND NO DOUBT THE FED MIGHT HAVE TO DO THAT AGAIN AND AGAIN AND AGAIN. I’M WONDERING HOW THIS DOES PLAY OUT POLITICALLY, BECAUSE THERE ARE A LOT OF DEMOCRATIC VOTERS WHO LIKE WHAT THE PRESIDENT’S DOING WITH CHINA. WHAT DO YOU THINK?>>THERE ARE VERY FEW PEOPLE IN THE COUNTRY THAT SEEM TO LIKE WHAT THE PRESIDENT’S DOING ON TRADE. CERTAINLY NOT THE FARMERS WHO HAVE SEEN THEIR CONTRACTS GO AWAY. NEIL: UNION WORKERS.>>WELL, I MEAN, THIS IS NOT JUST A FARMERS’ ISSUE. THIS IS CONSTRUCTION, THIS IS MATERIALS FOR INDUSTRIAL WORK — NEIL: WHY DON’T THEY SPEAK OUT MORE?>>THEY HAVE. THERE HAVE BEEN A FLOOD OF STORIES JUST THIS WEEK ON FARMERS, ON CONSTRUCTION WORKERS SAYING THEIR CONTRACTS ARE GONE. THESE ARE CONTRACTS THAT THEY WORKED ON FOR 10, 20, 30 YEARS TO BUILD TRUST. THOSE AREN’T GOING TO COME BACK WHEN THE TRADE WAR STOPS. NEIL: I’M NOT DISPUTING THE FACT THEY ARE CONCERNED AT ALL, BUT I THINK A LOT OF THE CANDIDATES THEMSELVES GET CONCERNED ABOUT MAYBE SUPPORTING THE FARMERS BUT BEING VERY LEERY OF TICKING OFF UNION VOTERS WHO INCREASINGLY DO LIKE THIS PRESIDENT. ARE YOU WORRIED ABOUT THAT?>>THE NUMBERS IN PENNSYLVANIA DON’T SEEM TO BEAR THAT OUT. HE’S UNDER WATER THERE BY 15 POINTS. SO THIS IS MUCH MORE I THINK DAMAGE CONTROL THAN ANYTHING ELSE FOR THE PRESIDENT. NEIL: WHAT DO YOU THINK?>>WITH REGARDS TO THE UNION WORKERS, LOOK AT HOW DEMOCRATS WANT TO IMPLEMENT THE GREEN NEW DEAL. WHAT IS THAT GOING TO DO TO JOBS, ESPECIALLY TO UNION JOBS AND RAISE ENERGY PRICES AND ALL THE OTHER THINGS THAT THEY WANT TO DO TO REALLY DISRUPT OUR WAY OF LIFE, AND BE MORE ONEROUS ON AMERICANS, HARD-WORKING AMERICANS, ESPECIALLY THE UNION WORKERS. JOE BIDEN, THE COAL FIGHT. COME ON, HE SAID YEARS OF NO MORE COAL IN USA AND HE’S STILL TRYING TO BRING BACK THAT MANTRA NOW. HE HAS A WAR AGAINST COAL AGAIN FROM THE PREVIOUS ADMINISTRATION.>>YOU KNOW, I WOULD GO AHEAD AND ADD, TOO, THAT THE DEMOCRATS WITH THIS ISSUE ON TRADE, WITH CHINA, INTELLECTUAL PROPERTY THEFT, SAID NOTHING ABOUT IT. THEY DIDN’T SEEM TO CARE MUCH THAT THESE COMMUNITIES IN PENNSYLVANIA, MICHIGAN AND OHIO, WHERE ELSE MANUFACTURING AREAS DOWN SOUTH WERE BEING CLOBBERED BY THE MOVEMENT OF PRODUCTION FACILITIES FROM THE UNITED STATES TO CHINA. THAT SHOULD HAVE BEEN AN ISSUE. MAYBE THAT HAD TO HAPPEN EVENTUALLY BUT YOU CAN’T IGNORE IT. NEIL: WHEN THEY WERE IN IOWA FOR THE STATE FAIR AND ALL THAT STUFF, THE FARMER THING, THE IMPACT THERE, WAS VERY PRONOUNCED. THAT WAS A BIG ISSUE. NOW THINGS ARE IMPROVING ON THAT FRONT WHILE ALMOST EVERY SECTOR, WE WILL BE RIFLING THROUGH A LOT OF THESE, FROM RETAIL DOING WELL, ALL DOW 30 STOCKS ARE UP FOR THE TIME BEING, BUT WHEN IT COMES TO A LOT OF THE ISSUES NEAR AND DEAR TO FARMERS, THEY’RE NOT DOING TOO WELL. A LOT OF CORN FUTURES DOWN, SOYBEAN FUTURES DOWN, WHEAT, BARLEY, DOWN. SO THERE’S OPTIMISM, TO YOUR POINT, ABOUT THIS GETTING RESOLVED, FUNNY WAY OF SHOWING IT.>>WE CAN TALK ABOUT WHAT THE GREEN NEW DEAL MIGHT DO TO THE ECONOMY OR WE CAN TALK ABOUT WHAT PRESIDENT TRUMP’S TRADE SCHIZOPHRENIA IS DOING NOW. THE BOND YIELDS AREN’T GOING DOWN BECAUSE I’M BUYING BONDS. INSTITUTIONAL INVESTORS — NEIL: I THOUGHT YOU WERE.>>– ARE FLEEING OUT OF THE MARKET FOR FEAR OF RECESSION. WE HAVE THE SMART MONEY AND LARGE INVESTORS ALREADY STARTING TO COVER THEIR POSITIONS FOR FEAR OF WHAT MIGHT HAPPEN. NEIL: ALL THAT MONEY IS COMING HERE FOR THE TIME BEING. WE ARE A SAFE PLACE TO PARK –>>THAT’S DEFINITELY THE CASE. AS THE FEDERAL RESERVE GOES AHEAD AND CUTS INTEREST RATES, THAT REDUCES THE COST OF HEDGING FOR THESE FOREIGN INVESTORS AND IT MAKES U.S. BONDS ALL THE MORE ATTRACTIVE RELATIVE TO BONDS FROM GERMANY THAT NOW HAVE A MINUS ONE HALF PERCENT INTEREST RATE. BONDS EVEN FROM THE UK WITH BREXIT, YOU KNOW WHAT THE INTEREST RATE THERE IS ON A TEN-YEAR BOND? ONE HALF OF 1%. WE ARE STILL WAY UP THERE AT NEARLY 1.7%. I THINK THERE’S A LOT OF ROOM FOR U.S. TREASURY YIELDS TO MOVE LOWER. I THINK WE WILL BE IN A RAGE EVENTUALLY. NEIL: WE DON’T HAVE A LOT MORE TO GO.>>HEY, 1.25%, 1.5% IS LOWER THAN WHERE WE ARE TODAY. I THINK THERE’S A VERY GOOD CHANCE THAT AT SOME POINT IN 2019, WE ARE GOING TO SET A NEW LOW FOR THE TEN-YEAR TREASURY YIELD GOING BACK MAYBE 50 OR NO, EXCUSE ME, LONGER THAN THAT, GOING BACK 60, 70 YEARS. NEIL: REALLY.>>YES. NEIL: POLITICALLY, THE PRESIDENT, YOU KNOW, IS TRYING TO SAY HE DID WHAT HE DID TODAY TO HELP AMERICAN CONSUMERS SO THEY WON’T BE SHOCKED, YOU KNOW, RIGHT BEFORE THE HOLIDAYS WITH THESE STICKER INCREASES WHICH IS THE FIRST TIME I EVER HEARD HIM QUASI-ACKNOWLEDGE THAT THERE IS A BILL FOR AMERICANS TO PAY AS A RESULT OF TARIFFS. HE HAS SAID WE DODGED THAT BULLET BECAUSE CHINA’S PAYING THEM. OF COURSE, THE TRUTH IS U.S. ENTITIES PAY THEM. IT’S HOW MUCH THEY CAN PASS ALONG TO CONSUMERS. WHAT DO YOU THINK OF THAT? THE PRESIDENT’S PIVOTING ON THIS ISSUE?>>I THINK HE’S REALLY PUTTING THE FACTS OUT THERE. I THINK THAT IS WHAT HIS SUPPORTERS LIKE THE MOST. FIRST OF ALL, WHO IN AMERICA, HOW MANY KNEW THIS ISSUE WITH CHINA WAS SO BAD? WHO KNEW THAT IT WAS $500 BILLION A YEAR WE WERE LOSING BECAUSE OF CHINA LYING AND CHEATING AND STEALING INTELLECTUAL PROPERTY — NEIL: WE WERE ALSO GETTING A LOT OF INVESTMENT HERE, ALSO.>>SURE. THAT’S RIGHT. NEIL: YOU LOSE THAT.>>I’M SORRY? NEIL: YOU LOSE THAT IF CHINA IS ALL OF A SUDDEN AT ODDS.>>BUT THE THING IS HOPEFULLY THIS IS A SHORT-TERM — NEIL: HOPEFULLY. BEEN GOING ON A YEAR AND A HALF.>>TRUE. BUT HOW MANY YEARS HAS IT BEEN GOING ON? THEY HAVE BEEN STEALING FROM AMERICANS.>>WELL, I THINK FROM THE POLITICAL PERSPECTIVE, THE IMPORTANT THING TO NOTE, TOO, AS I STATED EARLIER, THE DEMOCRATIC PARTY DIDN’T SEEM TO CARE ALL THAT MUCH THAT THESE PEOPLE WERE BEING LEFT BEHIND IN MIDDLE AMERICA, THE MIDDLE WEST, WHATEVER, AND THEY DIDN’T REALLY COME UP WITH IDEAS SUCH AS TRAINING PROGRAMS AND SO ON. TAKE MONEY FROM OTHER PROGRAMS AND PUSH IT INTO THESE AREAS SO THAT THESE PEOPLE COULD REESTABLISH THAT STANDARD OF LIVING THAT THEY ENJOYED FOR SO

Trump threatens tariffs on $4B of EU imports


THANK YOU VERY MUCH.>>>PRESIDENT IS THREATENING 4 APPROXIMATELY DOLLARS OF TARIFFS NOT ON CHINA, MEXICO OR SOME OBVIOUS NAMES IN THE PAST. HOW ABOUT THE EUROPEAN UNION? TO REAL CLEAR MARKETS EDITOR JOHN TAMNY, MARKETS WATCHER MARK LUSCHINI WHAT THEY MAKE OF THIS. WHAT DO YOU THINK?>>NEIL, OBVIOUSLY IT IS A DANGEROUS. WE’VE BEEN HERE BEFORE WITH EUROPE RELATES TO AUTOMOBILE MANUFACTURERS. WE’RE TALKING ABOUT SUBSIDIES SUPPOSEDLY BEING APPLIED TO AIRBUS, COMPETITIVE THREAT TO BOEING. OF COURSE AMONG OTHER THINGS. BUT THE FACT OF THE MATTER IS, THIS IS HELPING KEEP THE MARKETS ON ITS HEELS. WE GO THROUGH THE WAVES OF TRADE RISK ON, TRADE RISK OFF. NOW WE’RE HAPPENING TO MIGRATE FROM CHINA TO EUROPE, AT LEAST FOR THE DAY, WHICH IS TO SAY, WE HAVE A TRADING BLOCK THERE THE SIZE AS BIG AS THE UNITED STATES, WHICH COULD ESCALATE, CREATE TENSION THAT CHINA CURRENTLY HAS BEEN CREATING GOING FORWARD. PROBABLY UNLIKELY TIME WHEN GLOBAL ECONOMIC GROWTH CONTINUES TO DETERIORATE. NEIL: YOU KNOW, JOHN, I HAVE TO LOOK AT THIS AND WONDER, WE’RE KIND OF SPREAD OUT AND FAR-FLUNG WITH THE THREATS WE HAVE, MAYBE FOR PERFECTLY VALID REASONS. THIS WOULD NOT BE THE FIRST TIME A U.S. PRESIDENT COMPLAINED ABOUT THE WAY EUROPE SHIELDS ITSELF FROM AMERICAN COMPETITORS. HE IS RESPONDING A LITTLE BIT DIFFERENTLY. I’M WONDERING WHERE THIS IS GOING, WHAT DO YOU THINK?>>HOPEFULLY NOT TOO FAR. IT IS VERY DANGEROUS. LET’S REMEMBER THE U.S. HAS THE MOST VALUABLE COMPANIES IN THE WORLD HEADQUARTERED HERE. THAT THEY ARE MOST VALUABLE, THEY GET ENORMOUS AMOUNTS OF SALES FROM AROUND THE WORLD INCLUDING THE EU ANY ATTEMPTS TO LIMIT EUROPEAN COMPANIES ABILITY TO SELL IN THE UNITED STATES IS A WAY OFFING THE U.S. COMPANIES TO SELL INTO WHAT IS A VERY LARGE MARKET. WHO CARES WHAT THE REST OF THE WORLD DOES? HONG KONG IS RICH BECAUSE ITS MARKET ARE OPEN. SO IS SINGAPORE. THE U.S. IS RICH BECAUSE ITS MARKETS ARE OPEN. DOESN’T MATTER WHAT OTHER COUNTRIES DO, AS LONG AS WE’RE OPEN, WE’LL BE THE PROSPEROUS COUNTRY. NEIL: YOU HAVE TO WONDER, MA, WHETHER WE, LIKE “WHACK-A-MOLE” WITH SOME OF THESE TRADE DEALS OR DEALS WE’RE WORKING ON. LET’S SAY WE SCORE ONE WITH CHINA. THEN WE HAVE SOMETHING POTENTIALLY JUST AS WORRISOME, MAYBE NOT ON A DOLLAR SENSE BUT THORNYIER WITH EUROPE, WITH WHOM WE HAVE MUCH BETTER RELATIONS IN GENERAL. WHAT DO YOU THINK?>>AGREE. WHAT WE KNOW WE HAVE MERCANTILIST PRESIDENT MAKES JUDGMENTS ABOUT OTHER COUNTRIES OR ECONOMIC BLOCS WITH REGARD TO TRADE IMBALANCES WITH THOSE COUNTRIES. THIS SHOULD COME AS ONE HAND NO SURPRISE. ON THE OTHER HAND AS PREVIOUSLY STATED IT IS WORRISOME. PARTICULARLY AT TIME WEE A FAIRLY CLOSED ECONOMY WITH REGARD TO OUR NEED TO DRIVE ECONOMIC ACTIVITY FROM EXPORTS. IT IS ONLY 12% OF OUR GDP. NONETHELESS WHEN WE’RE OPERATING AT 2% GROWTH RATE AND REST OF THE WORLD AS I MENTIONED EARLIER CONTINUES TO SEE DECELERATING ECONOMIC ACTIVITY, COMPOUNDING REDUCING BUSINESS SENTIMENT WILL BE HELPFUL TO REFLATE ECONOMIC GROWTH AND WILL NOT BE GOOD FOR OUR STOCK MARKET. NEIL: I DO NOTICE MORE PEOPLE THAN JUST YOU SMART GUYS ARE GETTING A LITTLE WORRIED ABOUT IT. THE FED’S BARKIN WAS TALKING ABOUT THE CHILLING EFFECT OF TRADE TARIFFS AND THE REST, PUTTING OUT A STATEMENT THAT THE ECONOMY COULD BE BLIND-SIDED IN TERMS OF WEAKER EARNINGS REPORTS AS A RESULT OF THIS BLACK AND FORTH. WHEN YOU HEAR THAT KIND OF STUFF, JOHN, DO YOU CONCUR?>>OF COURSE I DO. LET’S NEVER FORGET OUR OPENNESS TO FOREIGN GOODS IS WHY WE’RE PRODUCTIVE NATION. WE ALLOW OTHERS TO DO AT AND WE ELEVATE OUR MOST UNIQUE SKILLS. LET’S REMEMBER COUNTRIES DO NOT TRADE, INDIVIDUALS DO. MARKETS AND ECONOMIES DO NOT LIKE CENTRAL PLANNING BUT THAT IS EXACTLY WHAT IS COMING FROM THE REPUBLICAN PARTY INCREASINGLY. THE PARTY THAT WAS ONCE EMBRACING OF FREE MARKETS, INCREASINGLY WANTS GOVERNMENTS TO SET THE TERMS OF TRADE. THAT IS WHAT POOR COUNTRIES DO. IF WE CONTINUE DOWN THIS PATH WE’LL BE NATURALLY A POORER NATION AS A RESULT.

Trump calls Google, Twitter biased, says they should be sued


>>SOMEBODY SAID THEY DON’T WANT WHAT HAPPENED IN 2016 TO HAPPEN IN 2020. THEY DON’T WANT IT TO HAPPEN AGAIN, IS THAT WHAT YOU’RE REFERRING TO?>>LET ME TELL YOU, THEY’RE TRYING TO RIG THE ELECTION. THAT IS WHAT WE SHOULD BE LOOKING AT, NOT THE WITCH-HUNT, PHONY WITCH-HUNT.>>IS WHAT TECHNOLOGY COMPANIES DOING TO YOU, IS THAT LEGAL, ARE THEY BREAKING THE LAW, MR. PRESIDENT?>>I DON’T KNOW BUT TELL YOU WHAT, THEY SHOULD BE SUED. NEIL: PRESIDENT TRUMP SLAMMING GOOGLE, OTHER TECH COMPANIES CLAIMING THEY’RE SUPPRESSING HIS REACH AND COULD HURT HIM AGAIN. “WASHINGTON EXAMINER” ON ALL OF THIS. WHAT DO YOU THINK OF ALL THIS?>>LOOK, NEIL, ONE THING THERE IS THE BIGGEST TAKEAWAY HERE THERE IS A LOT OF BIPARTISANSHIP WHEN IT COMES TO BREAKING UP THESE BIG TECH COMPANIES. ELIZABETH WARREN SAID IN MARCH, FACEBOOK AND OTHER TECH COMPANIES THAT EXCEED $25 BILLION IN AD REVENUE SHOULD BE BROKEN UP. GOOGLE, FOR EXAMPLE, OWNED BY ALPHABET, HAS FACED ANTITRUST ISSUES BEFORE. THEY HAD TO PAY A $1.7 BILLION FINE TO THE EUROPEAN UNION OF THE FACT THAT THE DEPARTMENT OF JUSTICE, RUMORED IN THE PAST YEAR TO BE POSSIBLY OPENING AN ANTITRUST PROBE INTO GOOGLE, THAT WOULD JUST BE A NEW FRONTIER AND A NEW COUNTRY OBVIOUSLY WHICH THEY WILL PROBABLY FACE MAYBE ADDITIONAL FINES. NEIL: BUT WASN’T THE ISSUE WITH A LOT OF THESE GUYS, FACEBOOK INCLUDED, WHETHER INTENTIONALLY, UNINTENTIONALLY WERE PROVIDING ENTITY FOR ALL THE FAKE ENTITIES WERE ACTUALLY HELPING DONALD TRUMP AT THE TIME?>>AND THAT IS THE THING. WE HAVE TO UNDERSTAND, DO THE AMERICAN PEOPLE WANT A LOT OF THIS CONTROL GOING TO THESE BIG TECH COMPANIES? AND THERE IS SORT OF BEEN THIS, COGNITIVE DISSONANCE TO SAY THE RUSSIANS MEDDLED IN THE 2016 ELECTION, THAT THEY HAD A HUGE IMPACT ON THE VOTE. NOW THEY’RE SAYING HERE, AT LEAST SOME LIBERALS ARE SAYING THESE BIG TECH COMPANIES MIGHT NOT ACTUALLY HAVE A BIG IMPACT IN 2020. THAT IS WHAT SEEMS TO BE THE ROOT ISSUE HERE. THE GOOGLE EXECUTIVE WAS VIDEOTAPED SAYING IN THE CONTEXT OF SAYING ELIZABETH WARREN IS BEING MISGUIDED BREAKING UP THE BIG TECH COMPANIES, IT MAKES IT HARDER FOR BIG COMPANIES LIKE GOOGLE TO STOP A QUOTE, UNQUOTE, TRUMP SITUATION IN 2020. THAT IS SORT OF THE ISSUE HERE. THAT IS KIND OF INTERESTING TO SEE HOW PEOPLE ARE REACTING TO IT AND TRUMP MIGHT GET MORE ALLIES FROM THE OTHER SIDE THAN HE THINKS. NEIL: I THINK YOU’RE RIGHT ABOUT THAT. ALSO THE NOTION THAT IT HURT HIM, WHEN IN RETROSPECT WE KNOW ENOUGH FROM THE MUELLER REPORT, WHEN IT CAME TO THAT STUFF, THE RUSSIANS WERE VERY, VERY SUCCESSFUL LEVERAGING THAT TO HURT HILLARY CLINTON AND HELP HIM. IT’S A LITTLE WEIRD.>>IT’S A KIND OF A WEIRD DISCONNECT. TRUMP IS PROBABLY ON TO SOMETHING THAT GOOGLE AND OTHER BIG TECH COMPANIES ARE POLICING CONSERVATIVES A LITTLE MORE HARSHLY THAN THEY ARE LIBERALS. NEIL: BOTH SIDES SHOULD APPRECIATE IMPORTANCE GETTING A

Wall Street CEOs pull out of China trade meeting over disputes: Gasparino


THEY HAVE RESERVATIONS. I DON’T KNOW. THAT VOICE YOU HEAR IS MY GOOD FRIEND, CHARLIE GASPARINO.>>I DIDN’T KNOW HE WAS GOING OVER THERE. NEIL: WELL, HE IS NOT.>>I GREW UP WITH A LOT OF IRISH GUYS. BY THE WAY THEY LOVE TRUMP SO YOU KNOW.>>RIGHT. BOEING IS BRAGGING ABOUT ALL THESE CHINA PLANE PURCHASES THE SO WEIRD VIBES.>>WHAT IS GOING ON HERE, THE CHINESE ARE REACHING OUT TO CORPORATE AMERICA, ESSENTIALLY LOBBY ABOUT THE TRUMP ADMINISTRATION ON, AGAINST HIS CHINA TRADE POLICIES. IT IS INTERESTING THAT, HE SET UP A MEETING FOR SEPTEMBER, EXCUSE ME, THE CHINESE GOVERNMENT SET UP A MEETING WITH WALL STREET FIRMS FOR SEPTEMBER 16th, WHICH WAS ANOMALY, AT LEAST, YOU KNOW — NEIL: AT THE TIME OF THE U.N. CONFAB AND ALL THAT?>>I BELIEVE SO. RELATIONS. BUT REALLY TO, WALL STREET FIRMS KNOW THIS, REALLY TO ENLIST THE INTO A TRADE WAR WITH CHINA SINCE ALL THESE FIRMS HAVE SO MUCH BUSINESS THERE. HERE IS WHAT WE KNOW ABOUT THE MEETING. THE FIRMS THEMSELVES ARE NOT TOO CRAZY ABOUT THIS IDEA. WE DO KNOW AT LEAST TWO MAJOR WALL STREET EXECUTIVES ARE PULLING OUT OF THE MEETING. THEY WILL SEND NUMBER TWOS. WE DO KNOW, STEVE SCHWARZMAN THE CEO OF BLACKSTONE, THE BIG PRIVATE EQUITY FIRM IS NOT GOING>>I WILL GET TO THAT IN A SECOND. JAMIE DIMON, CEO OF JPMORGAN WON’T ATTEND. BOTH CITING SCHEDULING CONFLICTS. FROM WHAT I AM HEARING INSIDE THE COMPANY, LISTEN, THEY DON’T HAS A PROBLEM WITH TRADE HE CAN CALL UP TRUMP HIMSELF. HE KNOWS THIS STUFF. HE DOESN’T NEED TO BE PART OF A DOG-AND-PONY SHOW. JPMORGAN, BLACKSTONE AND OTHER MAJOR BANKS FROM WHAT I UNDERSTAND ARE GOING TO SEND THAT WOULD BE A PRETTY BIG STATEMENT IN DIMON AND SCHWARTZMAN WENT TO THIS MEETING. NEIL: ALL OF THESE MEN AND WOMEN EXPRESSED CONCERN THAT THIS IN THE MIDDLE OF IT.>>THINK ABOUT IT, WALL STREET CEO LOBBYING TRUMP ON BEHALF OF THE CHINESE GOVERNMENT? THEY HAVE LOTS OF BUSINESS OVER THERE. BLACKSTONES THAT PLENTY OF BUSINESS IN CHINA. SO DOES JP AND ALL THESE FIRMS, THEY DO WELL BY HAVING U.S. COMPANIES HAVING ACCESS. HIS NUMBER TWO. THEY WILL SEND NUMBER TWO, THEY FEEL THEY HAVE COVER TO SEND A NUMBER TWO?>>I THINK THEY JUST, THEY DON’T WANT TO BE PART OF OVERT LOBBYING EFFORT. NEIL: HOW REAL DO YOU THINK THIS IS?>>CHINA IS THE BIG TRADE. WEEKS. CHINA IS THE BIG WORRY.>>HERE IS WHAT CEO’S TELL YOU. CHINA IS A BAD ACTOR. GIVE PETER NAVARRO ONE THING HE RAISED CONSCIOUSNESS, AND DONALD TRUMP, ALL THE BAD STUFF CHINA DOES ON TRADE, STEALING INTELLECTUAL MARKET, NO DOUBT. THEY HAVE A HUGE MARKET AND BOOMING ECONOMY EVEN AS THEY ECONOMY. THEY WANT SO MUCH ACCESS TO THE ECONOMY THEY WERE WILLING TO GIVE UP INTELLECTUAL TRADE SECRETS TO GET ACCESS TO IT. THERE IS WHERE THE CONFLICT IS. THEY ALL WANT TO DO BUSINESS THERE. IT IS GOOD FOR THESE COMPANIES TO DO BUSINESS THERE. THE U.S. SELLS A LOT OF STUFF TO CHINA WE POINT OUT. WE BUY A LOT OF STUFF BUT WE SELL A LOT OF STUFF. THE TRUMP ADMINISTRATION MAKES A VERY GOOD CASE ABOUT THEM BEING BAD ACTORS ON INTERNATIONAL TRADE AND NOW WE’RE HAVING A CONFLICT. I THINK OF ALL TRUMP’S TRADE LISTEN, CHINA IS A VERY BAD ACTOR. THEY VIOLATE HUMAN RIGHTS. THE JOURNAL, “NEW YORK TIMES” TOTALITARIAN REGIME THAT WE HAVE TO BE VERY LEERY DEALING WITH. THEY WANT TO STEAL OUR LUNCH, THERE IS NO DOUBT ABOUT THAT. TRUMP, GIVE HIM CREDIT AND NAVARRO CALLING THIS TO THE ATTENTION BUT THERE IS A BUSINESS SIDE OF THE STORY. WE SELL A LOT OF STU THERE. NOW WE GET CONFLICT. IT IS INTERESTING THAT THE CHINESE DO AN END ROUND AROUND TRUMP AND PETER NAVARRO, LIGHTHIZER, TRADE PEOPLE, GO RIGHT TO THE WALL STREET CEOs. THE TWO BIGGEST CEOs, WE SHOULD POINT OUT JAMIE DIMON RUNS THE LARGEST U.S. BANK BY ASSETS. I BELIEVE BLACKSTONE, HAVE TO CHECK ME, IS BIGGEST PRIVATE EQUITY FIRM, CERTAINLY AT THE TOP. WHEN BIG GUYS LIKE THAT DON’T GO THAT’S SAYING SOMETHING. THEY WILL CITE SCHEDULING CONFLICTS. FROM WHAT I UNDERSTAND INSIDE THESE COMPANIES THEY JUST DON’T WANT TO BE PART OF AN OVERT NEIL: EVERY TIME I HEAR SCHEDULING CONFLICTS IT IS A NEIL: YOU DON’T LIKE THE IRISH.>>YES, WHY WOULD TRUMP DO THAT? NEIL: I DON’T UNDERSTAND. OH, WE DON’T KNOW WHAT HAPPENED. CALENDAR FILLED UP. WE DID THIS WITH THE CANADIANS WITH THE TRADE THING. BY THE WAY LOOKS LIKE THEY’RE BACK AT TALKS.>>WITH CANADA? NEIL: HOW DO YOU THINK THAT WILL BOB WOODWARD’S BOOK THE GUY TRADE AGREEMENT. THEY’RE SMART ENOUGH TO KNOW THAT WOULD DAMAGE THE ECONOMY. THEY WILL, MY GUESS, WHEN SAID POUNDING AND DONALD WILL SAY, I GOT THE GREATEST TRADE DEAL, BIGGEST EVER, IN 100 YEARS. IT WILL BE GOOD STUFF BUT VERY MARGINAL. BOTH SIDES CLAIM VICTORY. WE’LL MOVE ON. THE CHINA THING IS DIFFERENT. WHAT — NEIL: TRASH YOU FOR BEING A NEGATIVE TRUMP PER, THEY WILL NOT HEAR THE REMARK YOU JUST MADE. THEY WILL HEAR THE FACT YOU’RE FAIR, BALANCED JOURNALIST. NEIL: SOMETIMES PROBABLY JUST AS>>THE GREATEST TRADE DEAL IN A BAZILLION, KAJILLION YEARS. IS MY TRUMP IMPERSONATION — NEIL: IT’S A LITTLE JAMES CAGNEYISH.>>BUT GETTING BETTER, RIGHT? DONALD GAVE ME PROPS FOR MAKING

Judge Napolitano’s take on college admissions scandal and Facebook investigation


THANK YOU, LAUREN VERY, VERY MUCH. LET’S GO TO JUDICIAL ANALYST ANDREW NAPOLITANO. THAT’S A BIG ONE.>>THE ONE BY THE TWO STANFORD STUDENTS IS ABSURD. THEIR ALLEGATIONS AS THEIR LIVES OF THE DEVALUED BECAUSE THEY WENT TO STANFORD INSTEAD OF EL. I DON’T THINK THEY’LL BE ABLE TO PROVE THEIR CASE. IN EACH OF THESE LAWSUITS, YOU HAVE LAWYERS IN CALIFORNIA SEEKING TO REPRESENT THE CLASS. EVERYBODY WHO APPLIED TO THOSE COLLEGES IN THE 10 YEAR PERIOD THAT THIS SCAM WAS GOING ON AND DID NOT GET IN. THAT IS AN ENORMOUS NUMBER OF PEOPLE IN THE THEORY IS THIS IS A VALID PART OF THE THEORY. THE UNIVERSITY HAD A DUTY TO KNOW WHAT WAS BEING DONE BY ITS ADMINISTRATORS AND COACHES WITH THE AUTHORITY. THEY HAVE A TENNIS COACH AND HE’S ADMITTING TO PEOPLE THAT NEVER PLAYED TENNIS BECAUSE HE’S BEEN BRIBED TO DO SO. STANFORD SHOULD’VE KNOWN NOT AND CAN’T BE HELD RESPONSIBLE FOR IT. CASES LIKE THIS ARE IMPOSSIBLE TO PROVE. HOW COULD YOU POSSIBLY PROVE A HALF TRILLION DOLLARS IN DAMAGE? HOW COULD YOU DIMINISH THE LIFESTYLE BECAUSE YOU WENT TO STANFORD INSTEAD OF GOING TO YALE.>>YOU KNOW LEGAL HISTORY BETTER THAN ANYONE. IN THE CASE OF AFFIRMATIVE ACTION, IT BECAME FEELS LIKE HE HAD A MINORITY LESS EXPERIENCE.>>KNOW, THOSE DO NOT SUCCEED. WHAT IS THE DIFFERENCE BETWEEN THIS AND SOME OTHER GIVES $3 MILLION TO PUT THEIR NAME ON THE ENGINEERING BUILDING AND THE CHILDREN HAPPENS TO APPLY WITHIN SIX MONTHS. 3 MILLION IS A LAWFUL, CHARITABLE, TAX DEDUCTIBLE DONATION. IS IT ALSO A BRIBE? NEIL: WHEN YOU’RE PAYING OFF COACHES.>>AND ARE ACTUALLY CHEATING. THERE’S NO QUESTION THIS VIOLATED NUMEROUS FEDERAL STATUTES. THE QUESTION IS WHO IS RESPONSIBLE FOR IT OTHER THAN THE PEOPLE THAT WERE AT THE CORE OF IT WHO BENEFITED. BUT NEIL, SOME OF THE PARENT WERE TAKEN OUT OF HOMES BY 5:30 IN THE MORNING BY FBI AGENTS. THE WAY THEY ARRESTED ROGER STONE. THE MILLION DOLLARS CASH BAIL ON A NONVIOLENT CASE. THE COURTS ARE GOING OVERBOARD HERE. DREAM TO LET ME GET YOUR SENSE OF WHERE THIS GOES. ACTRESS LORI LOUGHLIN, SHE WAS ON THE POST OF THE $1 MILLION BAIL. WHAT KIND OF JAIL TIME COULD SHE BE LOOKING OUT IF FOUND GUILTY IN ALL THIS?>>I DON’T THINK THE PARENTS WILL GO TO JAIL AT ALL. I THINK THE ONLY PEOPLE THAT WILL GO TO JAIL WILL BE THE PEOPLE THAT ORCHESTRATED IT. NOW, IN THE PAST 24 HOURS, DEAR FOR STRAIGHTER, THE FELLOW SEEMED ARE COMMON THERE ARE 32 FAMILIES INVOLVED. GUESS HOW MANY PEOPLE HE SAYS HE HELPED GET INTO COLLEGE? 750. SO WHAT ARE A LOT OF THESE PARENTS GOING TO DO? THE MOST SUCCESSFUL GOOD EFFECT IMMEDIATELY AND WILL GIVE YOU THE NAME OF FIVE OF OUR FRIENDS WHO ALSO DID THIS AND THIS WILL EXPAND AND EXPAND AND EXPAND. LOOK, THE FEDS DID THE RIGHT THING IN BRINGING THIS DOWN. THEY MAY HAVE OVERCHARGED HIM HAVE OVERCHARGED COME AND USE TOO MUCH FOR US, TERMS OF THEIR GOAL TO GET CRIME OUT OF THE APPLICATION PROCESS FOR SCHOOLS IS WHICH YOU EXPECT LAW ENFORCEMENT TO DO TO FIND THAT THEY JUST TOUCHED THE TIP OF THE ICEBERG. NEIL: WHAT ABOUT THE STUDENTS IN THERE NOW?>>THAT’S A GOOD QUESTION. TO ACCUSE A STUDENT JUST FOR THE HYPOTHETICAL SAKE AND STILL GOT ALL A’S, WHAT ARE YOU GOING TO DO? KICK A PERSON NOW? SOMEONE UNDER THE LAW SCHOOL OR MED SCHOOL. WHAT ARE YOU GOING TO DO ABOUT THE CLIENTS OF THE HEAD OF A MAJOR WALL STREET LAW FIRM WHOSE NO LONGER HEAD OF THE FIRM AND NO LONGER WELCOME THERE. NEIL: I DIDN’T INK ABOUT THAT. THE WHOLE FACEBOOK DATA THING, CRIMINAL INVESTIGATORS,>>IT IS TOUGH TO FIGURE OUT WHAT THEY’RE UP TO. FACEBOOK HAS A CONSENT DECREE WITH THE FEDERAL TRADE COMMISSION. VIOLATION OF A CONSENT DECREE ORDINARILY IS NOT A CRIMINAL ACT AND DOESN’T PROVOKE THE INTEREST OF FEDERAL PROSECUTORS. THEY MAY BE THINKING OF A VERY NOVEL USE OF THE ANTI-HACKING LAWS. SO THE ANTI-HACKING LAWS PREVENT A PERSON FROM UNAUTHORIZED ENTRY INTO SOMEONE ELSE’S E-MAIL AND DIGITAL DATA. FACEBOOK CENTURY WAS NOT UNLAWFUL. WHAT WAS UNLAWFUL WAS THE DISTRIBUTION TO OTHERS. THAT FACEBOOK DO THAT AND MAKE CASH OFF IT? THAT MIGHT BE WHAT THE FED IS LOOKING FOR. DID THEY? OF COURSE THEY DID. NOT GOING TO GIVE THAT INFORMATION AWAY FOR NOTHING. BUT DID THEY TELL THE PEOPLE WHOSE INFORMATION WAS GIVEN AWAY WHICH COULD BE YOU OR ME OR ANYONE WATCHING US NOW THAT THEY MADE MONEY OFF OF THEIR PERSONAL INFORMATION. NEIL: THE STOCK AS A RESULT AND

CBS-Viacom deal reportedly close to being finalized


NEIL: ALL RIGHT. THE MEDIA STOCKS IN PLAY, CBS VIACOM, WHETHER SOMETHING HAPPENS ANYTIME SOON ANYONE’S GUESS BUT ONE GUY WHO WOULD KNOW IS CHARLIE GASPARINO. WHAT IS GOING ON?>>IT IS HAPPENING. I THINK IT WILL HAPPEN AFTER THE CLOSING BELL TODAY, MAYBE TOMORROW MORNING. SOMETIMES IT BLEEDS INTO THE NEXT DAY BECAUSE YOU GOT DONE WITH IT REALLY LATE TODAY, DOT THE Is, CROSS THE Ts. MANAGEMENT STRUCTURE, BOB BAKISH CEO, GUARANTEED. JOE IANNIELLO FROM CBS. HE WILL BE REPORTING TO BOB BAKISH. IT IS NOT AS MUCH — THEY WANT TO KEEP HIM AT THE COMPANY BECAUSE HE DOES A GOOD JOB, LIKE OTHER UNIT HEADS HE WILL BE REPORTING TO BAKISH, EVEN THOUGH CBS WILL BE BIGGEST UNIT. NEIL: WHAT IS THE HANGUP?>>NORMAL DEAL STUFF. WE THINK IT HAPPENS OVERNIGHT. I HAVE BEEN THROUGH, THROUGH T-MOBILE, SPRINT LOOKS LIKE TO ABOUT TO HAPPEN A LITTLE THING HAPPENED HERE, YOU HAVE TO GO THROUGH THE WHOLE THING AGAIN, LAWYERS LOOK OVER EVERYTHING ELSE, BARRING THEM FINDING SOME SLUSH FUND INSIDE OF CBS, WHICH CAUSES, LIKE SOME SORT OF A HUGE PROBLEM, THIS THING IS GETTING DONE EITHER AFTER THE BELL TODAY, MY GUESS, OR, BEFORE THE OPENING BELL TOMORROW. AND IT WILL BE PRETTY BIG. SHARI REDSTONE WILL HAVE ACHIEVED WHAT SHE HAS BEEN TRYING FOR YEARS TO ACHIEVE. THAT IS MERGING TWO COMPANIES TOGETHER. PUTTING THE, REMEMBER, WHAT HAPPENED WAS, THEY WERE TOGETHER FOR YEARS, WHEN SUMNER HAD, WHEN SUMNER REDSTONE WAS PUTTING TOGETHER THE MEDIA EMPIRE. HE BROKE THEM APART IN 2006, BECAUSE DIFFERENT MEDIA LANDSCAPE. THEY WERE BOTH BIGGER COMPANIES AT THE TIME. NEIL: YEAH.>>THEY WERE BOTH MAJOR PLAYERS WITH, MAJOR MARKET CAPS IN MEDIA BUSINESS. SO YOU CAN SORT OF, YOU CAN EXTRACT SOME CAPITAL TO MAKE BOTH GROW, YOU KNOW, IN THAT ENVIRONMENT. SINCE THEN, AS WE KNOW, MEDIA HAS BECOME CONSOLIDATED. COSTS HAVE CHANGED. YOU NEED TO ACHIEVE ECONOMIES OF SCALE. PUT IDEAS PUT THEM TOGETHER. RESISTED BY CBS WHO THOUGHT VIACOM WAS SECOND RATE OUTFIT. LES MOONVES RESISTED. THIS WE WERE FIRST TO REPORT IN MARCH, WAS CLEAR LES WAS NOT GETTING CONTRACT EXTENDED. FOX BUSINESS BEAT “THE WALL STREET JOURNAL” EASILY ON EVERY MAJOR ASPECT OF THE STORY, THIS THING WAS HAPPENING. BOB BAKISH WOULD BE THE CEO. SHARI REDSTONE WOULD BE, SHE WOULD GET SOME ROLE IN THIS, WILL BE INTERESTING, VICE-CHAIR WOMAN. BAKISH GETS THE CEO ROLE BECAUSE HE IS VERY CLOSE WITH SHARI, EVERYTHING YOU SAY ABOUT VIACOM AS A PRODUCT HE HAS DONE A VERY GOOD JOB SINCE TAKING OVER. NEIL: THAT HELPS.>>TAKING OVER FOR DAUMAN IN 2016. PEOPLE HAVE BEEN REPORTING TO HIM. WE’LL SEE “AFTER THE BELL,”

Microsoft, Apple, Amazon have solid business models: Bob Herbold


TODAY. I’LL GET TO THAT IN A SECOND THAT IT’S HAVING A CHILLING EFFECT ON THE ENTIRE SECTOR. MICROSOFT CHIEF OPERATING OFFICER BOB OR WALL. THANK YOU FOR COMING.>>THE MARKET GIVETH AND TAKETH AND WE SHOULDN’T WHEN IT COMES TO TECHNOLOGY, YOU KNOW, GET TO HYPERVENTILATED ABOUT THIS. THE FACT OF THE MATTER IS FROM APPLE TO MICROSOFT BEAR UP APPRECIABLY OVER THE PAST YEAR. PEOPLE ARE GETTING ANTSY. SHOULD THEY BE?>>WELL, FUNDAMENTALLY I DON’T THINK SO AT LEAST IN THE CASE OF MICROSOFT AND APPLE AND AMAZON. THEY HAVE REALLY SOLID AS MOST MODELS AND YOU’LL SEE HICCUPS HERE AND THERE AND THEY’LL BE DRIVEN BY SOME OF THESE FORCES THAT ARE EXTERNAL TO THE SECTOR COMPLETELY. VIA MARCH, THEY ARE VERY HEALTHY BUSINESSES. IN THE CASE OF FACEBOOK AND THE CASE OF GOOGLE, YOU HAVE A DIFFERENT SCENE THERE BECAUSE SECURITY, PERSONAL SECURITY, PRIVACY IS A BIG ISSUE AND I THINK YOU’LL CONTINUE TO SEE HEAVY PRESSURE ON THOSE STOCKS SIMPLY BECAUSE THE FUNDAMENTAL BUSINESS MODEL IS UP FOR GRABS, UP FOR QUESTION REGARD TO THE PRIVACY ISSUE.>>I AM WONDERING, THE WAGONS WERE TECHNOLOGY YOU HAVE THE MOMENTUM CROWD THAT FEELS THEY HAVE RUN UP TOO MUCH. THERE’S ALSO THE PRIVACY CROWD SING WITH A LOOK AT A COUPLE OF THESE GUYS THAT WOULDN’T AFFECT APPLE TO YOUR POINT THAT SOME OF THE OTHERS. OTHERS JUST SAYING THAT THE ROTATION OUT OF WHAT HAD BEEN A MARKET LEADER. NO MATTER HOW YOU SLICE IT, THE ARGUMENT IS IT’S NOT GOING TO BE A GOOD ENVIRONMENT FOR TECHNOLOGY BECAUSE IT HAD BEEN SUCH A GOOD ENVIRONMENT. WHAT DO YOU THINK?>>WE’VE BEEN FEELING THAT WAY FOR 20 YEARS NOW. YOU KNOW, NEW IDEAS COME ALONG. I THINK WHAT IS GOING ON WITH THE CLOUD IN MICROSOFT AND AMAZON IN PARTICULAR, THOSE BUSINESSES ARE REALLY SOUND AND THE CUSTOMER IS WINNING AS THEY MOVED THESE APPLICATIONS TO THE CLOUD SO THEY DON’T HAVE TO HAVE THEIR ROAD DATA CENTERS. THOSE BUSINESSES ARE FUNDAMENTALLY IN VERY GOOD SHAPE. I WOULDN’T WORRY ABOUT IT TOO MUCH. YOU’RE GOING TO SEE VARIATIONS. THIS TRADE WITH CHINA IS OUT OF HAND IT’S GETTING CHILDISH ALMOST IN TERMS OF HOW LONG IT HAS GONE ON. THEY SHOULD GET IN THE ROOM, CLOSED THE DOOR, NO MEDIA, GET IRONED OUT. WATCH OUT FOR THE FACT THAT THE CHINESE NEED TO SAVE FACE SO WE HAVE TO GIVE IN ON A FEW THINGS. VIA MARCH WE NEED TO GET THIS BEHIND US. WE’VE ARGUED ENOUGH. LET’S RESOLVE IT. IT IS BOTHERING PEOPLE A LOT AND I THINK IT AFFECTS THE MARKET. THE FED OUGHT TO THINK ABOUT SLOWING DOWN. WE NEED TO STABILIZE A BIT. WE’RE SEEING A LOT OF CRITICISM ON THE SPEED. NEIL: I WAS TALKING TO A FED WATCHER WHO SAID JUST THAT, SAYING THE FEDERAL RESERVE IS PERFECTLY JUSTIFIED, PARAPHRASING HERE. IT IS CERTAINLY RIGHT TO FIND A NEW EQUILIBRIUM. IT CAN’T BE 0% INTEREST RATE, NOR SHOULD IT BE THE HISTORICAL NORM OF 5%. MAYBE THREE, THREE BY 5%, WHO KNOWS. THAT IS THERE A RISK YOU’RE THE FEDERAL RESERVE IS OVERDOING IT? THAT IS WHAT THE PRESIDENT HAS ALLEGED IN JEROME POWELL THE FEDERAL CHAIRMAN IS DOING IT AND RISKING THE WHOLE MARKET IN RECOVERY WITH IT.>>I HAPPEN TO THINK SO. I THINK THERE’S NO REASON WHY YOU CAN’T LET YOUR FOOT OFF THE ACCELERATOR FOR A BIT AND LET THINGS STABILIZE. I ALSO THINK WE NEED TO WATCH OUT FOR THE FACT THAT THESE MARKETS NOW ARE DRIVEN BY ALGORITHMS. SO WHEN YOU START TO SEE A SMALL DECLINE, THOSE ALGORITHMS THAT HAVE NO HUMANS INVOLVED, ALGORITHMS THEY, ALGORITHMS THEY HAD BETTER JUMP AHEAD OF THAT AND START SELLING NOW BECAUSE IT’S GOING TO GO DOWN FURTHER. THEY TEND TO DRIVE IT DOWN. DECLINES THE USE TO BE 100 POINTS NOW ARE 450 POINTS SIMPLY BECAUSE — NOT SIMPLY — NOT EXCLUSIVELY, ALGORITHMS ARE RUNNING A LOT OF THIS. NEIL: DOESN’T TAKE MUCH OF THE HIGHER THE NUMBERS GO IT MIGHT SEEM LIKE A BIG DEAL AND IT IS, BUT IT’S CERTAINLY NOT THE SAME BUT WE HAVE AN OCTOBER 87 WE CRASHED. VERY DIFFERENT NOW. THIS IS ABOUT ONE AND THREE QUARTERS OF THE DOW. FOR TECHNOLOGY IN GENERAL AND AMERICAN LEADERSHIP IN THAT FIELD, WHAT ARE YOUR THOUGHTS?>>WELL, WE CONTINUE TO BE STRONG, BUT THE BIG RISK IS TALENT FRANKLY. WHAT’S HAPPENING IN CHINA IS A POOR A KIND OF MONEY INTO THE RESEARCH CENTERS ARE THEY SIGNIFICANTLY STRENGTHEN UNIVERSITIES. TODAY IF YOU’RE RANKED THE TOP 10 ENGINEERING SCHOOLS IN THE WORLD SUCH AS U.S. NEWS & WORLD REPORT JUST DID, YOU GET FIVE OF THEM BASICALLY IN A SHOW, WHICH IS A REAL SURPRISE COMPARED TO 10 YEARS AGO. THE SCHOOLS ARE GOOD, THE GOVERNMENT IS POURING A LOT OF MONEY AND WHAT IS HAPPENING IN THE U.S. IS WE ARE TELLING THESE KIDS WHO ARE GETTING MASTERS DEGREES AND PhD’S IN COMPUTER SCIENCE AND ENGINEERING, WE SAY TO THEM ALL, WE DON’T NECESSARILY WANT YOU AROUND. THAT’S THE SIGNAL WE ARE SENDING THEM. ABSOLUTELY THE WRONG SIGNAL. THEY’VE GOTTEN CAUGHT UP IN THIS IMMIGRATION FLAP, WHICH AGAIN IS AN ISSUE THAT KEEPS BEING KICKED AROUND. SO WHAT IS HAPPENING IN 2011, 45% OF GRADUATES COMING FROM ASIA WOULD GO BACK HOME. TODAY THE NUMBER IS 80%. THEY’RE GOING BACK HOME SAID GOOD JOBS INTO ENVIRONMENTS THAT WELCOME THEM BECAUSE THEY KNOW LONG-TERM THEIR MILITARY AND INDUSTRY IS DEPENDENT ON GREAT

Texas is pledging nearly $1B for border security: Abbott


NEIL: NEW YORK CONGRESSWOMAN ALEXANDRIA OCASIO-CORTEZ IS UNDER A WHOLE LOT OF FIRE FOR REMARKS COMPARING THE SITUATION ALONG THE BORDER AND HOW I.C.E. IS TREATING FOLKS WITH CONCENTRATION CAMPS. TEXAS GOVERNOR GREG ABBOTT IS IN CHARGE OF A BORDER STATE AND PLEDGING $1 BILLION TO HELP IN THIS CRISIS. GOVERNOR, I HAVEN’T HAD THE CHANCE TO GET YOUR TAKE ON WHAT SHE SAID SO THIS IS MY CHANCE. WHAT DO YOU THINK OF WHAT SHE SAID?>>FIRST OF ALL, WHAT SHE SAID IS COMPLETELY OFFENSIVE BUT THAT POINT ASIDE, IT’S ENDEMIC OF WHAT WE ARE SEEING FROM THE DEMOCRATS IN WASHINGTON, D.C. ALL THEY WANT TO DO IS TALK ABOUT THIS. THEY DON’T WANT TO FIX IT. THE PROBLEM ON THE BORDER IS NOT GOING TO BE FIXED UNTIL DEMOCRATS IN THE HOUSE STEP UP AND AUTHOR AND PASS BILLS THAT FUND BORDER SECURITY, THAT FIX A BROKEN IMMIGRATION SYSTEM, THAT FIX THE BROKEN ASYLUM SYSTEM. THEY NEED TO STOP TALKING AND START VOTING AND PASSING LEGISLATION. NEIL: SO WHEN SHE COMPARES HOW THEY ARE TREATED IN YOUR STATE ALONG THE BORDER TO CONCENTRATION CAMPS, SHE’S REFERRING MAYBE WITH HYPERBOLE HERE THAT THEY’RE NOT TREATED WELL. YOU HAVE BEEN TELLING A LOT OF FOLKS THAT’S JUST BOGUS AND THE PROOF IS YOU INVITE CAMERA CREWS TO SEE HOW THEY ARE DOING AND ALL THAT, BUT THAT’S THE PERCEPTION. HOW DO YOU COUNTER THAT?>>WELL, LISTEN, PEOPLE LIKE AOC WOULD BE COMPLAINING IF THEY WERE IN THE RITZ-CARLTON. THE BOTTOM LINE IS WE HAVE PEOPLE COMING CREWS OU PEOPLE COMING ACEWS OU PEOPLE COMING ACROS OU PEOPLE COMING ACROSSOU PEOPLE COMING ACROSS OUR BORDER ILLEGALLY FROM AROUND THE ENTIRE GLOBE NOW. THIS ISN’T JUST FROM MEXICO AND CENTRAL AMERICA. IT’S FROM CONGO AND OTHER PLACES ACROSS THE ENTIRE GLOBE. THE REASON WHY WE HAVE THOUSANDS OF PEOPLE COMING ACROSS THE BORDER IS BECAUSE OF OCASIO-CORTEZ AND HER PEERS IN THE U.S. HOUSE OF REPRESENTATIVES NOT PASSING LAWS TO FIX IT. IF THEY DON’T LIKE IT, THEY ARE THE ONES WITH THE AUTHORITY UNDER THE CONSTITUTION TO STEP UP AND PASS LAWS. SO IT DOESN’T DO ANY GOOD FOR THEM TO COMPLAIN. THEY ARE THE ONES WITH THE POWER TO PASS A LAW. IF SHE DOESN’T LIKE IT OR DEMOCRATS DON’T LIKE IT, PASS A LAW AND FIX OUR BROKEN IMMIGRATION SYSTEM. AS YOU POINTED OUT EARLIER, THE STATE OF TEXAS IS HAVING TO COME OUT OF POCKET ALMOST $1 BILLION OF OUR STATE TAXPAYER MONEY TO SECURE THE BORDER, TO DO THE JOB THAT OCASIO-CORTEZ IS SUPPOSED TO BE DOING HERSELF. NEIL: THE MEXICANS ARE PROMISING TO BEEF UP AND ALREADY ARE ALONG THEIR SOUTHERN BORDER, PARTICULARLY GUATEMALA. ARE YOU HOPEFUL BETWEEN THAT AND THE COMMITMENT TO BE A THIRD PARTY, THIRD COUNTRY OF DESIGNATION, RATHER THAN THE UNITED STATES FOR A LOT OF THESE MIGRANTS, THAT THAT WILL LEAD TO AT LEAST, YOU KNOW, LESS OF A GROUNDSWELL OF MIGRANTS GOING TO YOUR STATE, CROSSING THROUGH THE BORDER?>>YOU KNOW, IT IS A VERY POSITIVE STEP IN THE RIGHT DIRECTION TO SEE THIS MEANINGFUL COOPERATION BY MEXICO, BECAUSE IT WILL LEAD, HOPEFULLY WILL LEAD THE A REDUCTION IN THE NUMBER OF PEOPLE COMING ACROSS THE BORDER ILLEGALLY. THIS IS A GOOD STRUCTURE FOR US TO WORK WITH, BECAUSE THE ASYLUM LAWS THAT WE HAVE IN THE U.S. ARE BROKEN, THAT REQUIRES THE U.S. TO HAVE TO HOUSE PEOPLE WHO COME ACROSS HERE, SO IF THERE ARE THESE METHODS WORKING IN COLLABORATION WITH MEXICO THAT WILL REDUCE THE FLOW OF MIGRANTS ACROSS MEXICO, THAT WILL REDUCE THE NUMBER OF PEOPLE COMING FROM MEXICO INTO THE U.S., THAT SHOULD LEAD TO BENEFICIAL EFFECTS WITH REGARD TO REDUCING THE NUMBER OF PEOPLE COMING INTO TEXAS ILLEGALLY. THAT SAID, THIS PROBLEM IS NOT GOING TO BE FULLY SOLVED UNLESS AND UNTIL CONGRESS STEPS UP AND STARTS USING THE POWER OF THE CONSTITUTION GIVEN ONLY TO THEM TO START PASSING LAWS THAT FIX A BROKEN ANTIQUATED IMMIGRATION SYSTEM. NEIL: GOVERNOR, WE RAN OUT OF TIME. I DO WANT TO TALK ABOUT SOME OF THE HELP YOU ARE HOPING TO PROVIDE TEXANS ON THE REAL