blaz blazon-- brazen disregard. it's all about ashley webster, and yesterday was stuart's first fourth of july as an american citizen. so we're excited about that and we're excited for ashley of course. ashley: such a big day for him, he's going to take a break, dagen, we understand. wave the american flag. i'm ashley webster in for stuart varney. big week for your money and politics, when isn't it. and president obama hitting the campaign trail with hillary today in north carolina. they will arrive together on air force one. we have a question, who foots the bill? the hillary camp will-- clamp, will use the taxpayer-- we're going to be paying part of that. the weekend wasn't without controversy, hillary interviewed by the fbi on saturday and how about this? clinton using burn bags to destroy documents while secretary of state. still, she leads in the polls.

also, happening this week, house republicans are set to vote on the no fly, no buy gun regulation and democrats planning for disruptions on capitol hill this afternoon. here we go again. "varney & company" with no disruptions starts right now. ♪ all right, let's take a look at the dow futures. you can see the dow off some 88 points, we're seeing weakness already in europe. perhaps brexit fears coming back to the floor. the dow is up 89. the s&p 1/2 of a percent. gold and silver, worried about brexit and spend sending gold and silver higher. check this out. we don't talk about silver that much liz: this mentality taking the polls and the market safe haven assets.

with the negative interest rates now at 11 trillion, morning worldwide and corporate bonds moving into negative territory, according to jp morp chase, about 300 million there. gold etf's, you're right. hitting three-year highs and silver is ahead of it. there's some retracement in this, but silver has rode ahead of it-- >> a long way to go liz: solar panels. ashley: by the way shall the bank of england held what they call a guilt sale, a bond sale they call in the u.s. and take a look at oil moving lower on the prospect of more supply from nigeria and libya coming back on-line. gas, by the way, 2.26. the national average on regular. new book, by the way, hitting store shelves. i saw this on the airport on saturday by the way, called

"wake up america", the nine virtues that made our nation great. that book written by other own eric bolling and guess what, he's here. more on the book later. first we want to get to, what is going on with oil? no better person to ask than eric bolling. we found out as far as oil goes for the first time ever, the u.s. now holds more oil reserves than saudi arabia and russia. is this a big deal? >> it's not the first time ever. the first time we realized it. the oil has been there and always been there, but look, the great news, it's a headline. it says for the first time we have the most reserves, not the most production, but the most reserves and that's fantastic. just like a full tank. how are you going to get it out of the ground? the way you do that is through looser and looser regulation, i'm for this, it's fantastic. it tells us we're on the way to energy independence. ashley: we don't have to worry about saudi arabia and russia. >> we import 2/3 of the oil we

use in the country and we're approaching 1/3. and when we're independent, we don't have to send dollars to people who want to kill us. . ashley: according to a usa suffolk poll, hillary clinton leads donald trump by five percentage points, and that's closer than just two months ago when she led by double digits, 50-39%. what's going on here? liz: what's interesting is the independents who are there ap the swing voters. looks like hillary still gets a lot of independent votes, but her vote scales back when you factor in gary johnson or factor in the green party. ashley: more candidates. >> it hurts hillary clinton not donald trump. so the unfavorability rating high. hillary comes in at 55% and donald at 60%. >> if i can add the margin of error, they're tied effectively, but the national polls don't matter so much

because this is a state by state election, but it gives you the important elements of what liz mentioned, which is are the other numbers, the tabs that happen. where there's a trend, whoo might be happening and as we see, yeah, more candidates for hillary. >> the other thing that's interesting. among hispanics, hillary has a 2-1 advantage and among black voters 10-1 # advantage and a lot of ground to make up. >> his advantage is other categories. clinton is behind with white males and he leads by independents by almost double digits and pretty good for him as well. ashley: interesting stuff. thanks. today for the first time in u.s. history, a sitting american president will campaign with a presidential candidate who is the subject of a fbi investigation. tell me what are your thoughts on this and they take off on air force one headed down to charlotte, i believe. all pallie pallie. by the way, she's under investigation by the fbi,

what's your thoughts on this? >> it sends the message that this is a new normal. is this what-- do we deserve better people who figure you're under investigation by the fbi, you go on with your business? of course it's not all right. they're trying to make this as normal as possible. she's called it a security review. there are attempt to secure the nature of what occurring. what they continue to do. for the north carolina audience it could be helpful for hillary, but a reminder about everyone of the problems we have and this would be the third term of obama and whether or not people want to approach it in that fashion. ashley: and eric, i want to ask you about this, what about the cost of this to the taxpayers. the hillary camp says we'll pickup part of the trip. >> that would be a first. ashley: yes, it would be. $206,000 an hour to use air force one. >> it's unbelievable, first of all, the cost of air force one, the security, the jets, the jet

fuel, it's amazingly expensivement for a president to say come on aboard air force one, it's a huge pat on her back, fantastic for her, but donald trump tweeted right away. who is picking it up liz: according to an ethics law that passed in '07 and enabilitied '09. it's supposed to be reimbursed-- >> i have a question, who paid for loretta lynch's flight where she allegedly was doing a speech, a private speech, getting paid for that. was that flight paid for by the people who paid for the speech or-- >> the taxpayer also? >> with that, they say the portion that is for campaigning, the dnc will happenedle, but he's going to be saying it's for-- he'll make a speech about some policy. >> and come and shake a hand and all done. >> pretty powerful image for hillary to be on air force one.

>> well, donald trump spent part of his july 4th with senator joni ernst. and that's looking at could she be part of his vice-presidential picks. >> eric. >> i'm a republican, i want the g.o.p. to win the election and-- >> you're a trump guy? you're a republican guy. >> i'm a republican guy. here is the way this plays out. i think that mitt romney got destroyed in 2012, destroyed so the states that mitt won, you could say they're fairly solidly red. if you give trump the states that romney won, there's a clear path to the presidency through three states, ohio and florida for sure, you have to have ohio and florida or forgot it. >> and could kasich get them both. >> you need those two and one more, pennsylvania or michigan. tied in pennsylvania doing well in michigan. you don't need them both, only one. ohio and florida, he has ohio

at the tie i think he'll win ohio, he doesn't have florida, it's not locked down, you need a florida presence. ashley: how important is the vp. >> actually i spent a whole weekend in florida, and people are passionate about donald trump. he needs florida, marco rubio would be a nice rounding out of that ticket to take florida. so you get florida, ohio and pennsylvania, and he wins. >> there's a reason why both are going to north carolina right now, because that state is starting to play a little bit of a role. i think that things are going to change, based on what 2012 was, i think that mr. trump has a chance to change things up. marco rubio couldn't win his own state according to the primary election. >> thanks to donald trump. >> there is an overassessment. >> who do you pick to win florida? >> we haven't seen a vice-president have an impact overall for general election. ashley: he's a unique candidate and maybe the vp--

>> a mike pence or a joni ernst will appeal across the board and that's a national rejection of the status quo. >> in florida you've got to be careful. you need a florida win. >> if trump is going to win, it's not going to be close and yes, he will win florida. if trump is going to win, it's not americans can't decide. they're going to decide and they're going to be clear. ashley: fascinating stuff. fbi director james comey will be holding a news conference at 11 a.m. eastern. we're not sure on the topic, but it does follow, doesn't it, the fbi's three-hour interview with hillary clinton on saturday, we're not sure whether that will be the nature of the press conference. we will be monitoring the situation and bring you the headlines as soon as we get them. let's check the dow futures again. looks like a lower open to the market. as we said, the dow off 92 points, down 1/2 a percent. perhaps fears over british exit from the eu are returning and we had a nice settling down of the nerves if you like.

a brand new trading week and nervous, the european markets off as well. and juno spacecraft entering jupiter's orbit after-- exploring that. >> and isis attacks over the weekend and john kerry says they're desperate. >> we have to get it right 24/7-365. if you're desperate and know you're losing and want to give up your life, then obviously--

. stuart: a record number of fbi background checks for the month of june. interesting story 'cause i i think we had a slack off for a

couple of months and now we see the background checks for guns liz: yes, the fbi and state were looking at it. a word of caution, there's not a one-to-one correlation between background checks and gun sales. we're looking at a record breaking year. possibly 26 million this year, there were 23 million background statements. and the state and fbi background checks. so what we're looking at. for june, it's up nearly 40%. that's unbelievable. so, so far year to date. 38-- we're looking at 26 million versus 23 million. >> do you think this is hillary clinton? >> e-mack can confirm this, over the course of president obama's presidency background checks extremely higher than they were to any other time in history. so you look at that and then further down the road, since you have a 4-4 supreme court right now and if hillary clinton wins and puts a 5-4 supreme court in favor of the

liberals and 6-3 down the road, you may actually have that second amendment attacked at the supreme court level and i think that-- if not the amendment, gun laws will be jacked up under hillary clinton. so, i think that's what is being reflected and people getting guns and if she's sworn into office. ashley: if she gets-- >> i'm going to pitch this book for a little bit. my first chapter is on the swearing in of hillary clinton and al gore the secretary of energy, al sharpton secretary of education and it's a horror story. ashley: a nightmare. >> if the g.o.p. does not cooperate she'll take action on guns and people must expect it. ashley: to this story, four isis terror attacks, hundred killed in iraq, 122 in bangladesh, four in saudi arabia and eight in malaysia. join us is the author of the story. judy miller.

the thing that struck us is the huge number of attacks in that part of the world. saudi arabia, we never normally hear that particular country being attacked as we've seen it in jeddah, medina, is there a change in tactic? what do you make of that? >> this is really an escalation on the part of isis. it's something we have never seen before, which is an attack on one of the two most totally islamic places. there is mecca, which is the heart of the religion and medina, where the prophet mohammad himself is buried. now none of us can go there unless we're muslims. that's how isolated it is and how limited to muslims. so when you attack medina, you attack the heart of islam. and every young muslim who may be tempted by isis knows that. saudi arabia is the ball game

for isis and before that, for al qaeda because that's where the oil is and the kings and the monarchs who rule in that country are the custodians of the two holy mosques and isis has just hit one of them. ashley: saudi arabia deals with the west, it doesn't like that, feels like it sold out, so to speak. >> they have for years and years been funding one of the most virulent, intolerant, most fundamental versions of islam. wahha wahhabi fundmentalism. and one says we must save from the criminal gangs and rise up against isis. and we have not seen that. i think this is kind of a game

changer for muslims themselves. we've had such trouble enlisting young muslims in particular in this fight against counterterrorism. ashley: does this reflect the fact that isis has been losing some ground, it's lost fallujah and it is, you could say, on the run a little bit and is this a response just stepped up terror attacks? >> i think it is, but i also think it reflects the fact that isis has now metastasized. it has roots in nine different countries. it has 12 different declared cal fates. it has thousands and thousands of young people who aspire to be muslim warriors in the name of their faith. and when you have that kind of recruiting going on all over on the internet, it's just very hard to stop. ashley: very quickly, judy, how is saudi arabia, never been subtle, even governing its own people, how does it respond? >> it's tough because we've

identified one of the bombers, who moved to saudi arabia 12 years ago with his wife and family so they're integrated in the muslim culture and you can't blame outsiders for this. these are people they've taken in. this is how tough a fight it going to be. ashley: good luck with the book, "the story". >> thank you. ashley: thank you very much. bernie sanders staying in the race despite hillary clinton being the nominee. and what is bernie's end-game? to push democrats further to the left? we'll ask his press secretary soon. more varney next. if you suffer from a dry mouth, then you'll know how uncomfortable it can be. but did you know that the lack of saliva can also lead to tooth decay and bad breath? well, there is biotene, specially formulated with moisturizers and lubricants...

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call today at see car insurance in a whole new light. liberty mutual insurance. >> back to that breaking news, we brought you earlier. fbi director james comey going to hold a news conference at 11 a.m. eastern. we do not know the subject of the news conference, but there is a possibility it could be on hillary's use of a private e-mail server. we shall see, but we will track it all and when it happens. what it's all about. >> a book hitting shelves. who is the handsome devil. nine versions that made our nation great and written by our own eric bolling. >> can i weigh in on the fbi conference. i'm guessing it's not going to be a recommendation for indictment. if she's going to be on air force one.

wouldn't that be cool if the fbi recommended indictment and president obama served hillary clinton her indictment to appear at the grand jury. i'm guessing-- >> not going to happen. we want to plug your book. basically what you're saying what we're seeing in america is the opposite of what the founding fathers intended. explain. >> it's mostly politics and get your thoughts on paper, people said. and i decided to write a political book and for years put it off. i felt this was the political climate. we're becoming so divisive and divided, on the left and right and more division. it's time to get my thoughts down to try to bring america back, back to the center. and to go back to the core republican values that made it so great for all of those years. i put the founding fathers stuff in there and put my personal stories in there. i realized at the end of the

story, who do you want to dedicate the book to, i have to dedicate it to president barack obama because he was the inspiration, made it so easy to write. he's brought the country so far left and it's doing amazing and amazing, and selling out in florida. and eric bolling. moments away we have the opening bell. stay right there.

>> welcome back, they're clapping and the opening bell is ringing down on wall street. and we're expecting a lower opening. we've seen downward pressure after the exit vote in the u.k. the dow on the left showing a lot more red than green. the dow down about 68 points. pretty much where we thought it would be based on the futures. taking a look at the s&p 500. a broader gauge of where we're at. that's down 10 points at 20.92. and the nasdaq for you, same story down across the board, and the nasdaq off 25 points. let's get to gold, up nearly 12 bucks, 1351. we're following the price of silver, that's gaining ground. up 1 1/2% at close to 20 bucks per ounce.

let's check the price of oil. downward pressure there. libya getting on-line and the global economy and 47-43. a look at the 10-year treasury yield, 1.39%. >> it hit 1.37. this is a market we'll fallen through the looking glass. we've never seen yields like that. ashley: just shows you. the british found, by the way, strengthened a little bit the end of last week. my, oh, my, below 131. cheaper all the time if you want to go to england and go to the pubs. hs about. c, royal scotland. and owned 70% by the taxpayer. down 6% at this hour. let's take a look at u.s. banks, bank of america, goldman sachs, morgan stanley, j.p. morgan, read them yourself. wells all moving lower.

bac down more than 1 and 1/2%. and tesla motors shipped fewer cars to customers. down almost 3%. down six bucks on the day at 2.10. let's look at harley davidson. this spiked on a buyout rumor. it's not spiking, is it? down nearly 8% beyond neutral, it's in reverse. amazon, meanwhile, beginning to sell perishable food. coffee and baby food. the stock is down 7.24. and apple shares, we keep track of those at 95 bucks or thereabouts, down 74 cents. what about google? let's google it. down 1/3 of a percent and 707. alphabet i should call it. always call it google. keith fitz-gerald and eric bolling who is sticking around. looks like fears of brexit are

coming back. we kind of settled down after the shock of the vote and now we're seeing the european markets step lower and we're picking up contagion here in the u.s. >> we are, and what's interesting about this, you've got sort of the knee jerk reaction that has faded into the woodwork and you're seeing the difference between the armchair traders and those figuring out what positions they want to own through the end of the year. how exposed do we want to be to britain at this point? >> todd, what's your take? we have this uncertainty around and the brits can't get their political party in shape and we don't know what the long-term impact is going to be on the u.k. and for that matter, the eu economy. >> good morning, ashley, i think you'll have volatility there. and right now the government is running off twitter and social media because there's nobody representing the country. i think it's going to be, at the end of the day, it's going to be great and better for the country and i think it's going

to lead to others that are eventually going to change the way the euro operates and the euro. and i think it's a good thing going forward liz: quick word of advice on what todd said, other countries leaving the eu, watch that 10-year german bund yield at negative .12. it's dipping lower in negative territory. that's a fear trade. meaning there are fears that other countries will follow britain out of the eu. >> flight to safety. ashley: exactly. let's look at gold and silver. and moving higher as investors once again look for safety in the wake of the british vote. eric you follow this. >> a lot of times economy markets run in tandem, oil going with gold and silver and agricultural commodities and as liz points out the exit play out of the stock market and bond market. get into safe havens and commodities tend to do that. this one, yeah, if the metal is going higher and oil going lower, there's a lot of

headlines in oil, oil, always, always, reverts back to supply and demand. there's a lot of supply situation and supply overhang in the oil market. that can't rally, given none of the headlines-- oil might have been up, shows heavy on the oil market. 1.50 is a lot, but probably a lot more baked into that. and i think that liz is right. whenever there's uncertainty, you have things like people rushing to the gold and silvers and that's why the yields are low, they run for the bonds. buy bonds, prices go up. ashley: yield is way down. let's move on and take a look at the big board for you. some of the big stocks. the s&p 500, as we say, moving down off the dow, 90 points, pretty much where the futures had it. the s&p 1/2 of a percent and a quick look at the nasdaq, down pretty uniform, down 1/2 of 1%. and mcdonald's winning an eu trademark case.

that must be one for the books. stopping others using mac or mc on food or drinks. never forget go netflix, binge watching. 94 bucks. bp touching its highest level in over eight years. and take my word for it. and looks like disney's bfg could be spielberg's first outright flop. i want today make a fun analogy what bfg stands for, i won't. nicole: i'll tell you what it stands for, big friendly giant. but it's at 97.73. the behemoth continues "finding dory", stays in the top spot for the third week in a row. pulled in 50 million this weekend and now set to challenge toy story 3 and

hauling in the highest grossing pixar film domestically ever. they're in convention for that with "finding dory", and tarzan second, but dory leads the way. ashley: and tesla, the autopilot function, and they're shipping cars to customers. keith, you like shares of tesla even at $210? >> i do, i've got a much longer horizon, i think that elon musk has a much bigger game. he's got detroit running for the hills and others concerned about what he brings out next. this is not unlike the airline industry either. every time you have a new product, they turn to auto pilots. unfortunately, human lives are lost along the way. that's what progress, although tentatively-- >> eric.

>> elon musk, we've loaned him and gave him so much money. i saw a tesla suv for the first time. it's a good looking car. i think there's a demand. an electric suv car, if he can pull that off. a long-term play, i would agree with keith, but probably a good one. ashley: the record number of fbi background checks for the month of june. et cetera let's get the details. >> year to date january to june, 13.4 million. what that means is we're on track for 2016 to have a record number of background checks. both fbi and state. meaning that this would surpass 2015's record year. so, what we're talking about though. there's not a one-to-one correlation between gun sales versus the background check, so just to give you that heads up. but i'll tell you something, gun stocks have been pushing higher.

there is some short covering going on on some of the plays. we're going to see democrats possibly taking to the floor for another gun bill and paul ryan having to beat that down. we're tracking that one. background checks. ashley: goldman sachs, telling to cut spending in the face of undero fund outflows and poor performance. >> you're seeing a market that wants to go lower. you're not seeing as much capital inflo based on the market. every time we have an announcement, brexit, or whatever, you have a drop. the market is searching for a reason to go lower here. if you look at gold, silver and the bonds, and the market, they cannot all go higher at the same time. one has to give and i believe it's going to be the stock market which is why goldman sachs is preparing ahead of

time to know that the inflows are not coming in, but as people try to grab their money and get it out of the market. ashley: keith, are we seeing a buying opportunity, do you think? and what do you like? >> i think there is a buying opportunity, but it's mainly big tech and mainly defense, and things like watching paint dry. i'm interested in the return on my money. ashley: well put. todd, keith, eric, thank you all for being here. e-mack stick around. plenty of time. three hours. let's check the big board once g again, where we thought it would be based on futures and what we've seen in europe. netflix hit with a downgrade by the way, nicole where is that right now. nicole: netflix down almost 3%, and last year this was a $133 stock. and needham down gra i hadded this one, they're worried about growth and also worried about

tech and netflix now because of the deals and expansion, actually has to fund the european zones and that's going to cut into the bottom line. in the meantime, guggenheim liked them this morning. back to you. ashley: thank you very much. the republican controlled house set to vote on gun control measures this week. the question, will they pass a law preventing people on no-fly lists from buying guns. katie is a big defender next. and the nathan hot dog eating contest, we'll tell you how many dogs the champ ate liz: with the buns. ashley: grab your pepto bismol next. ♪ going down in a blaze of glory ♪

>> to the future king -- [cheer [cheers] >> that was joey chestnut. by the way. like he won an olympic gold medal. this year's nathan's hot dog eating champion. the question, liz, how many did he eat? liz: he ate 70 hot dogs and guns. 32 years old. and guess how long it took him. ashley: no idea, don't want to know liz: ten minutes. don't want to know. ashley: his mother must be proud liz: this is the most ever he's eaten. he hate 73 1/2 to qualify and gets $10,000.

the woman who won, mickey from las vegas, 38 1/2 in ten minutes' time. ashley: great stuff. look at him. barely stand up. i'm surprised he can stand up. and take a look at the big board. the dow moving lower, the dow down triple digits, at 17,841. there are downward pressures. and perhaps the british exit vote starting to reappear. fbi director james comey will hold a news conference at 11 a.m. we don't know the subject. we have speculation, it could be about hillary's e-mail scandal and we're told that comey will be taking questions as well so we will be on that and let now as soon as possible. well, the house expected to vote on gun control laws this week. come in, katie pavlich.

what, if any, katie, new laws do you think the house will come up with? >> we're still stuck on this no-fly,no buy idea. if you're put on the terrorist watch list, shut be able to buy a gun. we don't have a solution, including how the legislation is going to vote on this week, and doesn't prevent innocent americans from being put on the list and stripped of due process as a result and then incapable of exercising their second amendment right. the legislation this week is a little better it puts the burden on the government that you have a tie to terrorism remember than probable cause, rather than just because you're on the list. here we are again, the government putting you on and no accountability for that. ashley: doesn't it call for ryan's bill calls for like a three day delay to allow, you say, the law enforcement to

explain to a judge why. that seems pretty good to me, doesn't it to you? >> it seems pretty reasonable however, when you look at the number of people on the terror watch list alone, about a million people. and by the way, i don't think there are a million terrorists running around the united states, it's going to be a very bureaucratic lengthy process when it comes to getting a warrant and going before a judge and proving your innocence rather than proven guilty. although we're here again. democrats say they'll hold it, because they don't want a waiting period. they want anyone on a list by a bureaucrat not to have the right to buy a firearm. if it passed, which it won't, they would see lawsuits not only from the n.r.a., but the a.c.l.u. ashley: they wanted background checks that deal with private gun sales, is that right? >> they do, but that's nothing

to do with the reason why they say they're launching this campaign. this, of course, is in response to the orlando terrorist attack when in fact, the terrorist there passed a background check and let's not forget was employed by a security company that was contracted by the department of homeland and he went through a thorough and extensive background check. this is a ploy to push an agenda rather than to solve a problem which is preventing terrorists from getting their hands on firearms. ashley: is it fair to say there are so many guns out there, katie, to try and restrict law abiding citizens access to them is the crux of what we're talking about. the bad guys are always going to have guns? >> of course. we have members of the congressional black caucus who are pushing for the number one sit-in. the major cause of death of young men is homicide by gunshot wound. it's not young men going to the

gun shop and buying arms. the conventional black caucus's time may be better spent in the community rather than on law abiding citizens in the country. ashley: thank you as always, appreciate it. let's get back to the market and check the big board for you. we knew there would be downward pressure and gaining momentum. the dow 115. take a look at dow 30 and we call it the huge map and a lot of red there. stocks are moving lower than those moving higher. johnson & johnson at the top of the heap on a tough day. the dow off, as we say, 115 points. and a question for her, will bernie supporters jump on the hillary training once she becomes the nominee? more varney next.

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where did those rumors go? bag down 10% at the hog at 48.91. and bernie sanders still in the race, still refusing to concede. former sanders national press secretary simone sanders, no relation, is with us. this is fascinating the some -- let's start with why bernie isn't dropping out. the theory he's waiting to see if hillary is indicted or not. is that true? >> senator sanders hasn't made a comment about an indictment or anything like that. 's in the race because he believes in the issue. why he got in in the first place and i think that's why, you know, he's still in. so, as you probably know, the democratic platform, a draft the platform was released on friday and in that platform contained a lot of things that senator sanders had been fighting for on the campaign trail. some things in there that senator sanders wanted. that's why he's in the race, i believe. and he's continuing to fight

for the issues that he cares about and so, he's going to go to orlando next weekend and fight for the language and the host of other things. and a lot of the supporters that are still bernie or bust. ashley: and i can. your passion and the bernie supporters are jumping on the hillary band wagon. is that easy for them to do. >> definitely. and one, senator sanders does not endorse secretary clinton, but noted he would vote for her and a large swath of our supporters if not all of them will go to secretary clinton once she is the democratic nominee. and so there was the wall street journal poll that came out last week or maybe a week and a half ago that showed 81% of our supporters said they would vote for secretary clinton. that's extremely important.

i don't think that's surprising to anybody. secretary clinton has moved to the left over a lot of the issues and she's out there talking about the need to break down barriers that we need to build bridges and not walls as donald trump would say and i don't think that there's a real chance that a large swath of our supporters will take a hard look at donald trump. i really do believe that donald trump's rhetoric is defines seive and xenophobic rhetoric and these are people that want to address criminal justice reform. ashley: i love your passion and we're running out of time. you're still feeling the bern, i can feel it here all the way in new york. we thank you very much. simone sanders, thank you. >> thank you. ashley: a lot of energy. president obama campaigning with hillary clinton, the first time a sitting president has campaigned with a nominee under a fbi investigation.

and trouble with women and minorities next.

>> 10 a.m. on the east coast, 7 a.m. in california, waky waky! here are the big stories today. president obama will campaign with hillary clinton. they travel together on air force one to north carolina. donald trump asks, who pays? air force one costs $200,000 an hour to operate. it ain't cheap. another story we're following, clinton's personal assistant huma abedin says that hillary routinely used burn bags to dispose of documents. and a problem with women and the minority vote, hour two of varney starts right now. >> ♪ >> first to the breaking news we brought you the last hour,

fbi director james comey will hold a news conference at 11 a.m. eastern and it could be, i say it could be on the subject of hillary clinton's e-mails. we're told tacomy will take questions and we have no idea what he's talking about, but you can be sure we're following it closely. check the big board for you. we knew it would be a lower open and it's proven to be that. down 110 points on the dow. it's 17,840 and we're seeing down across europe as well. the british pound dropping to another 31-year low as fears of the european exit by the u.k. starting to surface again. now, take a look at tesla. it shipped fewer cars to customers in the last three months and remember that a crash in may appears to have resulted from its eight mated driving system. tesla off more than 3% at 209.75. taking a look at harley-davidson, hog as the symbol is known. spiking under a buyout rumor.

the shares are down 10% at 48.82. so much for rumors. gold moving higher as british exits fears persist. and taking of metals. how about silver? moving higher for the same reason. nearly $20 an ounce. take a look at oil moving lower on the prospect of more supply from nigeria and libya coming back on-line. a lot of downward pressure and 47.33 liz: as eric said, it's supply. you're right, the militant attacks in nigeria did cause outages there. coming back on-line and we're watching two, ashley, record supplies of gasoline. 72 1/2 million and the national average at 2.38 a gallon and you could see gas going down and that's because, for the people who are taking vacations. ashley: still the driving season. e-mack, thank you. hillary, problems piling up and

the poll numbers. national poll usa today says the lead is narrowing to just 5 points. clinton 45, trump 40%. let's bring in ceo of cke restaurants, they own carl's, jr. and hardee's restaurant. i'm already hungry. how should trump capitalize off all of hillary clinton's scandals? how should he approach this? >> i think maybe he should take the approach that this is a real threat to the rule of law. i think we saw when bill clinton was president and he committed perjury in a deposition, he was disbarred. people felt like the law didn't apply to bill clinton and same with hillary clinton, if she gets off. if she's not indicted, i think that people are going to feel like the clintons are treated differently and that's going to demean respect for the rule of law which would be a bad thing. if she's indicted, obviously, it's a problem for her, she's indicted. if she's not indicted, people will say the rule doesn't apply

to the clintons and that's an opportunity for donald trump. ashley: i want to talk to you about what went on in britain. andy, and announcing a head of the u.k.'s independence party. following boris johnson, he won't be running for prime minister. meanwhile, of course, the british pound slipping to a 31-year low this morning. it seems the exit fears of what happened in the u.k. are returning. would you agree? >> there does seem to be some fear there. i tell you what, if you're an exporter and look at the pound, that's great news for you. if you're an importer, that off sets. it will calm down. the market has been up and down the past few months in larger amounts like this. i think that things will calm down and we'll see what happens with respect to britain. it's hard to justify brexit on an economic basis, although i think if i lived this, i might have voted for it. on a political and personal basis, it feels like the right thing to do.

ashley: get lost brussels was the message. andy, i want to talk to you about hillary and we're going to hear from the fbi at 11:00, i'll put you on the spot. do you think she will be indicted. i get the sense or growing sense she's not going to face indictment. what say you? >> you know, it's very hard to say. look, that investigator general's report on hillary was really devastating. and for the fbi now to come out and say that there isn't sufficient evidence to justify an indictment i think will be very difficult, but this is a-- it's been a strange political year, they could do anything. i know the director of the fbi is highly respected in washington d.c., i'm sure he'll do the right thing, but i have no idea what's going to happen this morning. i'm holding my breath like everybody else. >> donald trump and the selection of a vp candidate. by 3-1 margin. republicans say they would like someone who has at least some washington experience, would you agree? >> i think that's a good idea. i think it would offset his lack of experience directly

with washington. and the four people i've heard that are up for vp, christie and gingrich and ernst and pence would all be wonderful choices, they're great people and very conservative, good records, and would be a big help to him with respect to dealing with people in washington. he's got a great group of people to choose from. ashley: be interesting to follow. as always, andy, thank you so much. >> thank you, ashley. thanks, liz. ashley: today marks the first time in u.s. history that a sitting president will campaign with a presidential candidate who is the subject of a fbi investigation. and the national review's kat is with us. conflict of interest, i would say so, hello, what's your take? >> she's going on air force one, which is just such a powerful, striking image. look at her on air force one.

that's really not fair especially because his administration investigating her-- as you say if she's not indicted. ashley: do you think that would have been the invite knowing-- we don't know what the 11:00 is. if it's about, she gave three-plus hour interview over the weekend, you've got to assume that you don't believe an indictment is coming down? >> no, that would be a really awkward plane ride. if she's indicted and the rules don't apply to the clintons. this isn't the first scandal, this is her, i don't know, nine millionth scandal, constant, con standpoistant and people ar bugging me, she says. you're constantly wrapped up in this. and the couldn't constant is you. ashley: people are numb to it.

and the statement, hillary, it's benghazi, it's the e-mails, she seems to get away with it. she they don't indict even though there's criticism. can she walk away with her head high and saying, i'm having second thoughts about her? >> perhaps a little bit, but at the same time. everyone's pretty used to it at this point. the burn bag thing, the thing about that, she was burning her personal schedules and those are the things she's more concerned about people seeing than some of the top secret national secret information, and letting fly free at her e-mail server? she doesn't care about national security the way she should. she's shown she's not secure to keeping us secure and safe. she's shady and people voting to are her, know that. i don't think it's going to make a difference. we'll keep hammering on it because she should be held responsible. ashley: donald trump spent

fourth of july 4th, and there is the iowa senator, she could be on the short list of the vp picks, trump plans to announce the running mate in cleveland. 's got two weeks left to do the vetting? is that a good choice? i asked andy the same question. and perhaps some say they'd like more washington d.c. to counter act his lack of experience. >> and a lot of people say because of the sexism claims he should pick a female. i don't think it would make that much of a difference. however, i think the vp pick is more important for hillary. i think that she needs to pick somebody interesting, somebody a little bit more likeable. ashley: than her. >> right, trump's people love trump so much. i don't think that maybe a washingt washington, someone with experience in washington could put people's fears and nerves at ease with trump, but i don't think it's as big of a deal with i am had as it will be for hillary. stuart: interesting.

now we also saw in a usa today poll, narrowing, 5% gap now between hillary and donald trump with hillary just slightly in the lead. among minorities, among hispanics, 2-1 favor hillary. among the black vote 10-1 hillary. how does donald trump get past that? >> right, and this isn't a new problem. it's his problem. ashley: it doesn't seem to be-- >> it's interesting to me it's only four point lead if you bring in the third party candidates. a lot of the liberals, liberal side are going for the libertarian candidate which normally that doesn't happen. normally the libertarian candidate takes more votes away from the conservative side, but there are a lot of bernie supporters that support him and a lot of would-be hillary supporters that support him. things aren't spread out normally the way they usually are. it will be interesting to see how it goes and she's not doing so hot as white voters et cetera. and the lead is narrowing. ashley: great stuff. never a shortage of things to talk about. thank you so much.

let's take a look at the big board for you. we're tracking what's going on on the dow. a great day. up 126 points on the dow and 17,823. of course, some uncertainty here as well. it's also a bloody weekend. several isis attacks, baghdad, saudi arabia, indonesia. the question, is isis really on the run?

>> keeping an eye, of course, on your money and the stock market and the dow off 112 points. silver, by the way, moving higher as investors look for safety after the brexit vote and they're helping the silver minors. we know the price of gold is going up and silver a mixed bag. as you can see, mckuhn mining up, and silver has gotten a bump as people look for

alternative investments. delta leaves the airline shows lower. down 5% at 34.89. the company says it's spending more on fuel and lowering its revenue outlook. down goes the stock, e-mack. >> also watch this number. we've been covering a lot about the tsa waiting lines to get into the airports and percentage of seats filled is down and also consolidated passenger unit revenue. that's a key number for the number of tickets they sale and also trending down. they've cut their profit projection, we'll be tracking this throughout the morning. it's under pressure right now. >> they did not give a reason why. they're looking for the reason why. we've been reporting how the security checks have been extending the lines and now talking about curbside check-in, right? because the airport bombing overseas. ashley: they good, e-mack. a quick update for you, james comey is holding a news conference at 11:00, it could

be on the hillary e-mails. it could be. we'll take you there live at the top of the hour and all will be revealed. isis attacks are on the rise. and isis claimed responsibility for the deadliest terror bombing in a decade. series of strikes in saudi arabia. three in just 24 hours, let's bring in lieutenant general thomas mckernney, the president says isis is on the run. and is this the new reality, isis attacks around the world, in response to isis being put under pressure? >> i think it is, ashley. you might call this the isis ramadan surge. it's not a surge like we did in iraq, it's more like a surge when hitler attacked in the battles of the bulge and it was his last major effort. there's still a lot of fight left in isis, but they're trying to send a signal

worldwide and globally, if the caliphate is alive and well. we know they lost fallujah and now a battle for mosul and shaping for raqqa. they're trying to get that global outlook out there so people know they're still alive. ashley: we had judy miller on the show a while ago. she believes the attacks on saudi arabia could be a bit of a game changer, would you agree? >> well, you know, they were more like lone wolves. it's certainly a change. whether it's a game changer or not, we need to get the saudis to get involved and to get mecca and medina to declare fatwahs against isis. they control the ideology so we need to be putting pressure on them, but we do not have the leadership in our government today that can do that. the next president is going to have to do that, ashley. >> well, that's a good point. u.s. pressure aside.

what would you expect saudi arabia to do? what response, they're not known for being subtle. when they do act, they act with a lot of force. >> well, they do. now, where does this evil ideology of radical islam that our president and this administration will not mutter. where does this come from? it comes from mecca and medina. that's the heart of it. the wahhabi radical islam. the saudi royal family has got to be the drivers on this, as do other muslim leaders, to change this ideology, that those that attack the west are unholy warriors. mostly done in their terminology. they would forever live in damn nation. so we need to get inside their ideological circle there. ashley: monica crowley always says that the true meaning of the koran and the ideology is exactly what isis is doing and the good muslims would also follow the koran word by word

is what isis is doing, and therefore, they are the true believers, so to speak, and that's why you don't see such a response from the muslim world because they believe they're not fulfilling the religion as it should be. >> monica is exactly right. and you quoted it exactly right, ashley. now, we need to change that because in the longrun if we do not change it we're headed in a direction that they're going to suffer the most and the fact is, the muslims themselves, that's why it's important that they put ground forces in iraq and syria, to defeat isis. we could do it and we could do it very quickly, but we're just where we were when we did it in iraq. so the fact is they must defeat this evil ideology and they must pronounce that it is an evil ideology. ashley: and we continue to wait. general mcnerny, thank you so much. let's take a look at the dow 30 for you, stocks trading mostly

lower as you can see from the 30 stocks, we like to call it the heat map. the four straight days of gains and more reds than green and j.p. morgan is the laggard. and the dow off some hundred points or so. we've seen pressure on the markets on the downward side. the last poll shows donald trump gaining on hillary clinton, but he has a problem with the minority vote. we will bring you the numbers. you pay your car insurance

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down as much as 115, 116 at 17, 842. fears of the u.k. vote last week surfacing again. let's take a look at shares of harley-davidson, buyout talk, not so much this week. down nearly 10% at 48.88. and let's look at tesla, it shipped fewer cars the last months, that stock 210. let' get back to the election, the new usa today and suffolk university polls hillary's lead is shrinking nationally. and wrong women -- and among women, over donald trump. i ask the simple question, can donald trump win over the women's vote or cut into the lead. >> he may be able to. i think with trump he has more support than polls show. a lot of people don't say that they support donald trump because of saying he's sexist

and this and that. and hillary is basically only running on her gender in a lot of ways and hits back on any criticism by trying to distract. look at this moment in history for women, so, if she didn't have this huge lead for women, then, that would be really, really disastrous. ashley: okay. >> it's really what they're focusing on completely. ashley: let me ask you about this one. african-americans, the black vote. hillary leads in that category 10-1. >> it's interesting to me when you look at her record in the '90s. criminal justice. she wasn't just the wife of bill clinton, she made the tough on crime laws, too, speech after speech, ago more more money for prisons and sentences and i guess the narrative of trump as a racist has become more successful than actual history. if you look at her record, that doesn't make sense. ashley: it doesn't and against hispanics that particular

category 2-1 in favor of hillary. not a surprise when you consider what donald trump said at the beginning of his campaign. >> that's not surprising. one that surprises me is the african-american vote, but i thought that speech he gave about hillary's scandals was so powerful and i think that that is something we need to keep focusing on. her record is not there. it's not positive. all she's got is i'm a woman and look, he says inappropriate things. come on, it's got to be more substantial than that. ashley: people may say one thing and go another, i think that was true in the u.k. exit vote and a lot of people said i'll vote remain and when they voted they didn't. >> i've heard people say, don't tell anybody, i kind of like donald trump. ashley: in a hushed voice. and we know that the dow is under some pressure and off triple digits, 111 points at 17, 837. not talking 18,000 today for sure. there are questions about what happens next in europe after

britain's exit vote. so we'll get into that a little bit more as fears resurface as you can see in the markets. let's check the price of oil, a barrel of crude. right at $47, it's down 4% now and it may drop below the $47 mark. here is the headline. the u.s. has more oil reserves than saudi arabia and russia. take that saudis and russia. and as expected this week, a house vote on guns over no fly, no buy. guess what, democrats are promising another disruption. remember this? >> time for a real debate on these issues. >> mr. pope. >> and talking about-- radical islam-- >> no-fly no guns.

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ashley: check the big board, coming back a little bit, not down triple digits, down 95 points. look at the big names we chase every day, facebook down a third of 1% at 113. look at google, i will call it google down 1/2%, $706, out for a bit, don't forget netflix, off 2 and 1/3%. look at amazon, it begins selling perishable private-label foods like puppy and baby food, stock is down a quarter a 12:45%. paul ryan says the house will vote on a measure that would bar

terror suspects from buying a gun. congrema gohmert is with us. calling the bill in gesture and say they are planning to disrupt things again. what do you say? >> republican leadership made clear when they were violating so many, democrats were violating so many rules, first time in the history of our congress, kept saying especially to me, do not do anything to try to stop, we want to ignore them. they got mad at me for going down and challenging them on their ridiculous thinking that we have to stop guns. if you stop guns you also got to outlaw pressure cookers in boston and box cutters.

and unless you get to the heart of the problem, the failure of this administration and visa laws to enforce the gun laws that exist, and won't deal with the problem and how ironic they would be prosecuting less than bush did, dropped a number of prosecutions and fast and furious where they force guns to people that should not be getting them and they need more gun restrictions. and they want more restriction of law-abiding people, and we were promised there will be severe consequences for what the democrats are doing. now people see the consequences, we are going to give you a vote like you ask for. that is not what i consider severe consequences.

we are rewarding illegal behavior. ashley: are you under strict orders not to scream at the democrats if they pose another sit in? will you try to restrain them? >> i was told the next day that you didn't do too much damage when you went against our instructions. i made clear to our people, look, they are making outrageous allegations against us. the facts are on our side. all the gun-control things they want to practice are being practiced in chicago, washington dc, everywhere their ideas, there are more shootings, more dead people, more african americans being killed and we ought to be defending ourselves, standing up and counter ridiculous things. our leadership says we don't want to engage that.

just ignore them. we were told that in 2005-2006 and it led to the loss of the majority. they will not be happy with me but now i am taking on our leadership because they are rewarding bad behavior and i don't care if the nra thinks this is all right. when i read this section granting the attorney general the authority to deny the sale, delivery of transfer, the closest to known or suspected terrorist, i will give the attorney general anymore power to strict law-abiding americans and i haven't said this, a year and a half ago i was asked to speak at cambridge and oxford. flying back, as i am going through heathrow security, the head of that security of that area said we know who you are. your own homeland security department says we have got to do a thorough search. every item in my bags, they did the whole thing because some

bureaucrat said go after gohmert, we don't like him. we don't need to give them power, she doesn't like me either. ashley: very quickly, hillary clinton spent part of her weekends being interviewed by the fbi for three hours and she used burn back to illegally destroy documents, then we hear from the fbi, still, congressman, hillary clinton leads in the polls. how is that possible? >> democracy ensures the government they deserve. i hope we deserve someone who is not a lawbreaker like hillary clinton, who thinks the law doesn't apply to her, but if people want a king, like when the israelis, many years ago wanted a king, tried to tell them it was a bad idea, it would

be a disaster but how amazingly ironic. you just need to look no further than the fact that obama has now come out flying around with hillary clinton at taxpayer expense. he would not be doing that if he and loretta lynch had a conversation with bill clinton were not sure they were not letting the indictment happen. i said on fox news months ago as long as she doesn't trash obama she won't be indicted and that is -- ashley: as good a clue as you are going to get. as always, thank you so much for joining us. trying to stay restrained but i don't think -- look at the big board. he has passion. the tao off 100 points, 17851. the british exit fears are back, economics professor from university of maryland peter

morici who has tenure, thank you for joining us. i kind of felt having covered it two straight weeks, a bit like y2k, we should be jumping in shelters and preparing for armageddon, that hasn't been the case but there is a lot of economic uncertainty when it comes to the uk economy at least in the short to midterm. would you agree? >> i would agree but the real uncertainty is about continental europe. continental europeans say they are eager to snatch london's financial sector. to do that they have to have banks. the one bank that failed the us stress test was a german bank, the italian banks in the wall street journal are in terrible shape as our banks in spain and other countries. the reality is the continental europeans have a badly managed

economy, poorly structured banks and would serve the british interests to leave, look towards america and asia for their trade and their banking sector will do fine. ashley: i think you are right, based on that, what is the likelihood other countries will follow suit? denmark, the netherlands to name a couple? if that begins, is it the beginning of the end? >> a lot depends on conservative party leadership election. if teresa may is elected leader, there is a real danger the vote will be thrown out. what she will do is offer the norwegian solution, she said we have to expect to pay something to get into the eu. they are not asking americans and free trade negotiations to pay off part of their budget or accept their regulations or the other nonsense norway puts up with a. britain is a large enough and sophisticated enough economy that germans should want equal access and that should be good enough. if they elect michael go, they will go that way. i am concerned the conservative party was fundamentally against leave, will elect a prime

minister and negotiations will revoke the vote but if it doesn't, then i think the reasonable prospect denmark may go, spain is harder. britain has got going forward, it prints its own money. denmark does, spain does not. quitting the euro and the european union at the same time is much more difficult. ashley: fascinating to follow, thank you so much, appreciate it. when fears hit the price of gold and silver spike. nicole pedallides is at the nyse to tell us about it. >> when we talk about nervousness we have seen on wall street, gold and silver have been a safe haven and gold in particular covering two your highs gaining 8, silver is up $.20, gold is at 1346 a troy ounce and silver at 1978. lookout stocks are faring as

well, hit a new annual high. you can see these names, they are not surging, they are gaining 190%, 200%, gold and silver outpacing the market. is the run-up done? will they take the profits? ashley: thank you very much. donald trump starting a vice president search meeting with joni ernst over the holiday weekend. he says he will name his running mate at the convention, two weeks away. multiple medications, does your mouth often feel dry? a dry mouth can be a side effect of many medications. but it can also lead to tooth decay and bad breath. that's why there's biotene, available as an oral rinse, toothpaste, spray or gel. biotene can provide soothing relief and it helps keep your mouth healthy too. remember, while your medication is doing you good, a dry mouth isn't. biotene, for people who suffer from a dry mouth.

>> varney and company starts at 9 am eastern time. eric bowling on the new book. >> i wrote it to bring america back to the center. tack the core republican values that made is great for so many years like the founding fathers stuffed in there, my personal stories and their and realized that the end of the book, i have to get the cash dedicated to president barack obama. he was the inspiration, made it so easy to write. he brought the country so far left i had to write it and bring the country back.

ashley: look at the 10 year treasury yield at 1.38%. the global pool of negative yielding is getting bigger and that makes us bonds look more attractive for 1.38%. and the 10 year yield on the

treasury bond. james comey will hold a news conference, a few minutes from now. we will take you there live at the top of the hour to find out what it is all about. donald trump met with joni ernst fueling speculation the iowa senator could be on mister trump's short list. fred barnes is with us now. let me see what it was. 3:1 republicans, 3 times more republicans on trump's ticket. and the lack of washington experience. what do you think? >> other things, and newt

gingrich. he is someone who is comfortable with, they have known each other 10 or 12 years, played golf together and so on. newt gingrich is a heavyweight, particularly in washington. he is also someone trump listens to. trump is not famous for taking advice. he listens to a lot of advice of gingrich and take some of it. ashley: isn't gingrich the academy of what people are voting against when picking trump, the political establishment, same old same old? would that hurt trump? >> they will settle for trump being the outsider. we do need somebody who knows the ropes in washington and no one knows them better than newt gingrich who was a house member for 20 years and house speaker for four years and someone who is a policy expert. he had all the things trump

needs and he is someone trump is comfortable with. he makes a lot of sense, and the trump fans, accept just about anybody trump pics. ashley: you are probably right but trump was talking to joni ernst, hillary clinton spent part of her weekend interviewed by the fbi for more than 3 hours. we are also hearing clinton aid hima aberdeen use burn bags to illegally destroy documents when clinton was secretary of state. the list goes on and on. lots of material for donald trump. >> he will use it one way or another, we will have to wait and see what happens. the interview of hillary on saturday by the fbi director james comey they ought to be finished. the investigation is taking an awfully long time and hillary is the last one. we should get some word pretty soon, probably not this morning

but pretty soon about what the fbi is going to do. ashley: we will hear from the fbi at the top of the hour, we don't know what it is about but there is speculation about hillary clinton's emails and she won't be indicted. what are your thoughts on that? >> i don't think she will be indicted. president obama will be campaigning this afternoon. remember the attorney general loretta lynch is apologizing for that meeting for half an hour with bill clinton at phoenix airport a few days ago, we wouldn't have known about it, if it was not for a tip given to a phoenix television reporter. there were no reporters at the scene or anything. we would not have known about it, that is a telling meeting. ashley: i think so too. it is a very questionable thing.

thank you so much, appreciate your time. let's check the tao. more red than green in the first hour of trading, we are up, the tao is up 1/2%, pretty much expected, down markets across the board and in europe as well. jpmorgan chase at the bottom of the tao, procter & gamble leading the way, most definitely a down day. a few minutes from now fbi director james comey will hold a news conference at the top of the hour. we don't know what the topic is but there is speculation it could be about hillary's use of private emails when she was secretary of state. we will take you there live. me. we mean how can we help? we mean what can we do? we mean it's our turn.

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switch to liberty mutual and you could save up to $509 call today at see car insurance in a whole new light. liberty mutual insurance. ashley: a sitting president will campaign with a presidential candidate who is the subject of an fbi investigation. tell me your thoughts on this as they go to charlotte. she is under an investigation by the fbi. >> it sent a message this is a new normal. if you are under investigation

by the fbi, that is whatever and you go on with your business. of course it is not all right. she had done this rhetorically by a security review. it obscures the nature of what is occurring. it could be helpful for hillary but it is a reminder to everyone about the problems we have and this would be the third term of obama. i think things will change based on what 2012 was. mister trump have a chance to change things. marco rubio could win his own state in the primary election. it is a lot of overassessment. >> who do you pick to win florida? >> we haven't seen a vice president have an impact overall when it comes to a general election. ashley: very unique candidate. >> interesting combination, joni ernst will appeal across the

board. this is a national rejection of the status quo that will affect florida. ashley: does that -- >> got to be very careful. >> of trump is going to win it won't be close and he will win florida. trump is going to win. this will not be americans can't decide. they are going to decide and it will be clear. >> moments from now james comey holding a news conference at the top of the hour. will the fbi director address the hillary clinton email scandal? we will find out three minutes from now. your dentures seem to fit fine when you first put them on.

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happen. president obama on the campaign trail with hillary. what does he know? let's look at the market as we wait for mister comey. we will go there, tao up 95, out of the european union, surfacing again in the markets, the tao of 95 points at 17853, take a look at the stocks we like to cover, tesla shipping fewer cards to customers in the last 3 months, that stock up 3%. let's look at harley-davidson spiking last week on a buyout rumor. some of wall street has doubts about that particular story and the stock is paying for it down 10%. harley-davidson around $49 a share. look at goldman sachs telling staff to cut spending in the face of fund outflows and

performance. low.tao hitting 1.37% near an us bonds look more attractive even if it is 1.37%. the fbi director, at the top of the hour, let's get into this. steve more is the co-author of fueling freedom. liz mcdonald is here. we will get to you are. >> i would think so. there are two alternatives. one is we asked hillary all the questions we needed and the investigation is over. i don't think that is likely. the others we are just getting started.

ashley: let's hear what mister comey has to say. >> good morning. i am here to give you an update on the fbi investigation of secretary clinton's use of a personal email system during her time as secretary of state. after a tremendous amount of work over the last year the fbi is completing its investigation and referring the matter to the department of justice for a decision. what i want to do today's three things, tell you what we did, what we found, and what we are recommending to the department of justice. this is going to be an unusual statement in a couple ways. first, i will include more detail about our process than i ordinarily would. the american people deserve those details in a case of intense public interest. second, i have not coordinated the statement or refuted in any way with the department of justice or any other part of the government.

they do not know what i am about to say. i want to start by thanking the fbi employees who did remarkable work in this case. once you have a better sense how much we have done you will understand why i am so grateful and proud of their work. first, what we have done. this investigation began as a referral from the intelligence community inspector general in connection with secretary clinton's use of a personal email scandal -- server during her time at victoria state. this was with the classified information was transmitted on the personal system. our investigation looked at whether there is evidence the classified information was improperly stored or transmitted on the personal system in violation of federal statute that makes it a felony to mishandle classified information either intentionally or in a grossly negligent way.

or a second statute making it a misdemeanor to knowingly remove classified information, the counterintelligence responsibilities, we have also investigated to determine if there is evidence of computer intrusion by nationstates or hostile actors of any kind. i have used the singular term email server in describing the referrals that began the investigation. it turns out to be more complicated than that. secretary clinton used several different servers and administrators of those servers doing four years at the state department. she also used numerous mobile devices to send and read email on a personal domain. new servers and equip and were employed, older servers, taken out of service door and decommissioned in various ways, piecing all of that back together to gain a full understanding possible in the ways in which personal email was used for government work has

been a painstaking undertaking, when one of secretary clinton's servers was decommissioned in 2013 the email software was removed. that didn't remove the email content but it was like removing the frame from a huge unfinished jigsaw puzzle and dumping all the pieces on the floor. the effect was millions of email fragments ended up in the server's unused or slack space. we searched through all of it to understand what was there, what part of the puzzle we could put back together again. fbi investigators also read all of the approximately 30,000 emails secretary clinton provided the state department in 2014, where email was assessed as possibly containing classified information. the fbi referred that email to

any government agency that might be an owner of that information so that agency can make a determination whether the email contains classified information at the time it was sent or received or if there was reason to classify it now even if the content had not been classified when it was first sent or received. that is referred to as upclassified. from the group of 30,000 emails returned to the state department in 2014, 110 emails in 52 email chains have been determined by the only agency to contain classified information at the time they were sent or received. eight of those contains information that was top-secret at the time they were sent, 36 of those contained secret information, eight contained confidential information at the time.

separate from those, additional emails were up classified to make them confidential. those emails had not been classified at the time they were sent or received. the fbi also discovered several thousands work related emails that were not among the group of 30,000 emails returned by secretary clinton to state in 2014. we found those emails in a variety of ways. them had been deleted over the years and we found traces of them on servers or devices that had been connected to the private email domain. others we found by reviewing the archive government counts of people at the same time as secretary clinton including high-ranking officials and other agencies, folks with whom a secretary of state might normally correspond. this helped us recover work related emails that were not among the 30,000 produced in the state. still others we recovered from

that painstaking review of the millions of email fragments built into the slack space of the server decommissioned in 2013. with respect to the thousands of emails we found that were not among those reduced to the state department, agencies concluded 3 of those were classified at the time they were sent or received, one at the secret level and two at the confidential level. there were no additional top-secret emails found and none of those were up classified. we found no evidence that any of the additional work related emails were intentionally deleted in an effort to conceal them in some way. our assessment is like many email users secretary clinton periodically deleted emails or emails were purged from her system when devices were changed. because she was not using a government account or even a commercial account like gmail there was no archiving at all of her emails so it is not surprising we found emails that

were not on secretary clinton's system in 2014 when she produced 30,000 some emails. it could also be that some of the additional work related emails we recovered were among those deleted as personal by lawyers when they reviewed and stored her emails for production in late 2014. lawyers doing the sorting of secretary clinton in 2014 did not individually read the content of all her emails as we did for those available to us. instead they relied on header information and used search terms to try to find all work-related emails among the 60,000 remaining on her system at the end of 2014. it is highly likely that their search missed some work-related emails and we later found them. for example in the mailboxes of other officials or the slack space of a server. it is also likely there are other work-related emails they did not produce to state and we

did not find elsewhere that are now gone because they deleted all emails they did not produce in state and lawyers clean their devices in such a way as to preclude forensic recovery. we have conducted interviews and done technical examination to attempt to understand how that sorting was done by attorneys. we don't have complete visibility because we cannot fully reconstruct electronic record, we believe our investigation has been sufficient to give us reasonable confidence there was no intentional misconduct in connection with that sorting effort. in addition to our technical work we interviewed many people from those involved in setting up the personal email system and maintaining various iterations of secretary clinton's server to staff members of whom she corresponded on email to those involved in email production in state and finally secretary clinton herself.

last, we have done extensive work to understand what indications there might be of compromised by hostile actors in connection with that personal email system. that is what we have done. let me tell you what we found. although we did not find clear evidence that secretary clinton or her colleagues intended to violate laws about classified information there is evidence that they were extremely careless in their handling of very sensitive, highly classified information. for example, 7 email chains concern matters classified at the top-secret special access program at the time they were sent and received. those chains involve secretary clinton both sending emails about those matters and receiving emails about those matters, there is evidence to support a conclusion that any reasonable person in secretary clinton's position or in the position of those with whom she

was corresponding about those matters should have known that an unclassified system was no place for that conversation. in addition to this highly sensitive information we also found information that was properly classified as secret by the us intelligence community at the time it was discussed on email, that is excluding any later up classified emails. none of these emails should have been on any kind of an classified system but their presence is especially concerning because all of these emails warehoused on unclassified personal servers not even supported by full-time security staff like those found at agencies in the department or even the commercial email service like gmail. it is important to say something about the marking of classified information. a small number of emails here containing classified information or markings indicated the presence of classified information. even if information is not marked classified in an email

participants who know or should know the subject matter is classified are still obligated to protect it. while not to focus our investigation we also developed evidence the security culture of the state department in general and with respect to the use of unclassified systems in particular was generally lacking in the kind of claire for classified information that is found elsewhere in the us government. with respect to intrusion by hostile actors. we did not find direct evidence that the personal email domain in various configurations in 2009 was hacked successfully but given the nature of the system and the actors potentially involved, we would be unlikely to see such direct evidence. we do assess that hostile actors gained access to the private commercial email accounts, secretary clinton was in regular

contact with personal account. and secretary clinton's use of a personal email domain was known by a large number of people in readily apparent. she also used her personal email extensively while outside the united states including sending and receiving work-related emails in the territory of sophisticated adversaries. given the combination of factors, we assess it is possible hostile actors gained access to secretary clinton's email account. that is what we found. with respect to the recommendation to the department of justice, in our system prosecutors make the decisions whether charges are appropriate whether they help though we don't normally make public recommendations, we frequently make recommendations that engage from prosecutors about what resolution may be appropriate given the evidence.

in this case, unusual transparency in order. there is evidence of potential violations regarding handling of classified information, our judgment is no reasonable prosecutor would bring such a case. prosecutors necessarily way a number of factors before deciding whether to bring charges. obvious considerations like strength of the evidence, responsible decisions and the context of a person's actions and similar situations have been handled in the past. in looking back at our investigations into the mishandling or removal of classified information we cannot find a case that would support bringing criminal charges. all the cases prosecuted involve some combination of clearly intentional and willful mishandling of classified information or vast quantities of information exposed in such a

way to support an inference of intentional misconduct or indications of disloyalty in the united states or efforts to object -- obstruct justice. we do not see those things here. this is not to suggest, the person engaged in this activity facing no consequences. to the contrary those individuals are often subject to security or administrative sanctions but that is not what we are deciding now. as a result, although the department of justice makes matters on this, we express to justice our view no charges are appropriate in this case. i know there will be intense public debate in the wake of this recommendation is there was throughout the investigation. what i can assure the american people is this investigation was done honestly, competently and independently, no outside

influence of any kind was brought to bear. there were many opinions expressed by people who were not part of the investigation, none of that mattered to us. opinions are irrelevant and they were all informed because we did our investigation the right way. only facts matter. the fbi found them here in an entirely a political and professional way. couldn't be prouder to be part of this organization. thank you very much. >> will you make an announcement? ashley: he is not taking questions like we thought he would, james comey, director of the fbi, the clincher to all of this, no reasonable prosecutor would bring a criminal case against hillary clinton for her handling of emails. it was very critical of the way hillary clinton handled her

emails with carelessness, negligence, certainly not rising to the level, he says, of criminal charges but some remarkably amazing statements made in their. his demeanor and the way he laid out the case -- at the very end, not enough for criminal -- >> what is not clear is whether there would be charges for check care careless mishandling of classified information. that is what general david petraeus, hang on, pleaded guilty to. that was a misdemeanor, no jail time. they found a lot of information beyond what government employees found classified. very blunt language. any reasonable person in hillary

clinton's position should have known. james comey brought the charges and let the prosecution against martha stewart meaning willful obstruction. and they lacked care of confidential information in the state department. ashley: what was your reaction? >> hats off to james comey, he is a thorough professional. i don't know the details but i would defer to his judgment on this. the issue with this case was either she was grossly incompetent or she engaged in criminal activity. it sounds there is no criminal activity, this is incompetence and this is a problem with her politically because her whole case against donald trump is he is not for mentally fit to be president. how could she possibly be fit to be president when the fbi, hostile actors who were able to

get access. >> let me give you detail on that. i interviewed justice department officials on that point. we found separate from that multiple email servers not supported by any security staffer. that is at issue too. the first three months as secretary of state, there was research done that found her home server was unsecure meaning hillary clinton in 2009 was traveling to china, indonesia, japan, egypt, palestine, israel and turkey and that is when the homebrew system was not secure. ashley: your reaction to this? your mouth was wide open when this began and you have to and puffed. what is your overall assessment? >> the campaign is blown out of the water, the repeated i never sent information marked classified. it doesn't matter, what did he

say? it is the duty of the person originating and sending that information even if it is not marked that it is classified when it is classified information. gross negligence, 101 emails including tsa. there is an issue of gross negligence versus criminal intent. i have one real problem with the conclusion and this is where i am directed -- disappointed with director comey. classified materials management and handling is one of the few criminal codes where intent is not required. the negligence, the recklessness. if you do not handle it, you can be criminally prosecuted and we have seen it hundreds of thousands of times. ashley: he seemed to outline that case. >> we had a good 80% press conference on here are the facts, thousands of man hours,

they had intrusion, penetration with the people she sent emails to. ashley: let's go down the garden path. >> he is making the case she is different, intent matters. why does intent matter because she is the president a candidate? >> if she were in the military. i don't see this, this doesn't let her off the hook. as someone who worked for donald trump i see this as the ideal outcome. as a political matter to be indicted. the question now politically, can democrats go forward? >> i think it is severe, they were classified at the time, eight were top-secret, hillary

clinton sending and receiving -- the comparison to general david petraeus in his case -- >> hillary clinton speaking in dc, she looks worried. >> of all departments in the us government to be called, quote, generally lacking in care of top-secret confidential information to have the state department named as such versus all the apartment in the us government, the state department, they protect their top-secret actions overseas and for that to be called out by the fbi director -- >> as a political matter the whole case for hillary, she is confident she can do the job. ashley: even though polls show people don't trust her what will this do to her? how damaging is this?

>> upon your colleagues, the trump campaign, that is the question, incompetent, doesn't know what it takes to be president, has he done any damage to the republic close to what this woman has done is a member of the cabinet? that case is closed, whether it was intentional doesn't matter. this was a woman who had multiple servers, multiple devices, sending emails in areas outside the country where attacking her -- all the time. >> the first day she was in office, not like she can in my opinion say i was ignorant of these. >> it is a basic rule, quote, any reasonable person would have known to protect it in that position. but you make a good point. multiple servers in that house that had no security staffers to back it up, even gmail.

what we are seeing here is unprecedented activity, outlining the case, not sure if -- that loretta lynch did meet -- ashley: ask about the timing. >> make one final point, what we need to discuss is whether an aid to hillary clinton will be brought up on charges. >> we have to step back and look at the reality of this event. i would have to go through the history books but i am pretty certain we never had a cabinet level indictment in which the fbi director doesn't quietly send the file to the ag and the ag makes a determination. in the history of the republic to have the fbi director, that

is doj, didn't know what was going to happen. that tells you -- ashley: that is what one source claims, had no idea what he was going to say. >> that indicates the significance, the press conference without telling the agency where he was going. >> he left for lockheed martin, very well respected. he led the prosecution of martha stewart lying to an fbi agent so clearly for him to make the extraordinary move to have a press conference without notifying the department of justice, take note of that. ashley: the timetable of this, bill clinton meets with loretta lynch in a far-flung place no one was supposed to know about, has an interview with the fbi this weekend, cleared of criminal wrongdoing. go to carolina today with the president, it looks incredibly

shady. >> that is the big problem. the other issue brought up in the press conference is they were able to recover some of those emails. the question is the american people trust her that she didn't do what richard nixon should have done. he race the tapes. >> the director says they didn't find evidence they intentionally deleted to conceal. but what he was saying -- intentionally negligent, handling it in a grossly negligent way. >> what does hillary clinton do today? does she reference this? or teachers today? >> he is going to keep i think she can continue to deny 99 but i think it will dig deep hole.

she has been caught red handed. and we had one blackberry, shouldn't have done it. americans forgive if you admit. for 40 years, that is not the traffic. >> no intent about the handling of emails. what is the intent of setting up a private email server in a hall not supported by the government and it is unclassified? >> convenient. the other point, the other reason this is a problem for hillary, it is not like this is one incident. hillary has always been one half, what happened in benghazi, or future trading, all those things she always seems to just flip out of it.

ashley: joining me now is larry elder. i'm sure you have lots to say on this. what is your take on this? >> hillary is likely doing a happy dance. we already knew she shouldn't set up the server and likely violated department procedure if not the law, didn't turn over all the emails or stamped top-secret and also turned out several were stamped top-secret. as you mentioned, hillary is not trustworthy, still not believe she is trustworthy, those believe hillary did nothing wrong, had no intent as obama once said, feel that she was vindicated. let me say one more thing. he had a sterling reputation for integrity and to recommend no criminal charges is a big deal. >> the fbi director said it is possible that hostile actors meeting other nationstates had hillary clinton's email system

so that is an issue too. >> we know people receiving those emails were hacked. >> i have to disagree with your assessment. i don't see how this is good news for hillary. our jaws dropped with some of the language he said. i don't see -- smiling about this, i don't think this letter off the hook politically. >> he could have said i could've recommended referral and press charges. he did not. ashley: somebody close to her could get hit with a misdemeanor charge. ashley: it comes down to her. the buck stops with her and she ignored all the rules. ashley: >> package it this way. the director of the federal bureau of intelligence has proven to the world that she

lied when she said i never send information marked classified. more than 100 occasions, she did. that is a political vulnerability. >> he was on 7 email chains for sending and receiving classified information. ashley: how much damage does this do? what does donald trump do? he is the master of media attack. he could load up a anybody that watches fox news knows that she lied, knows that she sent and received classified information. >> how do liberals respond to this? i agree totally with what you're saying, yeah, we suspected this but the fbi has now basically documented all of our suspicions >> do you remember when president obama said hillary had no intent?

i know intent is not part of the statute but the left doesn't care. what they care whether or not is hillary tried to do it, wanted to do it, sneakily did it. liz: i think want to be clear what i just said. hillary clinton was on seven top e-mails that had top secret information both receiving and sending. ashley: that's amazing. let's bring in george, thank you sop of for being here. fox news contributor. what a time to jump in. did you watch all of that? >> i did. ashley: what was your take. >> now, i have a little different take than everyone here. ashley: oh, good. >> quite frankly, it was -- the fact that comey made this passioned explanation i thought was very detailed of which most people wouldn't have understood half of it. having said that nothing really new. i'm sorry i disagree. nothing really new here. we've been talking about these servers, we've been talking about the fact that she's been lying about it, we've been talking about the fact that she erased them. not really anything new except

we had the

>> does anybody watch that press conference believe that this was nothing as you just said? >> all of her supporters did -- do -- >> i'm talking about undecided voters, they're going to look at this -- >> that you see they've been persecuting me, and i told you, and this is going to be her -- ashley: sebastion -- >> it's just craziness. i have someone from inside the federal government now who said if i would have done one of those things, i would be in prison now. that's somebody from a federal agency. ashley: let me bring in an attorney, on the phone with us now, former u.s. attorney matthew whitaker because matthew brings up a good point. we heard the case laid out

very meticulously by james comey, what was your take and what was your take on his conclusion? will go to has been this is a typical lawyer answer but it all depends on what's standard. the felony requires intentional or gross negligence, the misdemeanor requires knowingly, and comey laid out that it was extremely careless and that, you know -- for me, i'm trying to figure out what standard extremely careless. that feels like gross negligence. . ashley: yes. >> that was -- you did not act as a reasonable person would act. she said she knew that this was classified as top secret access. she should have known or any reason person knew that they should not have done this on a unclassified system and then they kind of -- comey, who was a former federal prosecutor he and i served in the department of justice together, and he was u.s. attorney of southern district of new york and deputy attorney general. he laid out the people that had been prosecuted like -- which means most of everybody else in fly over country. .

>> are you saying in a gross negligence is indictable? >> gross negligence in the handling of this type of classified information is actually a felony, yes. liz: that's what general petraeus was hit with. ashley: so why not in this case, matthew? >> again, he laid out, as i watched it, he included at the end i thought this was -- he was referring a criminal case over. ashley: we did too. >> and then he pulled a punch, and it feels to me like for whatever reason, they just don't have the desire or the political will or the installment to take it at this point as we head into the conventions. and there's a criminal case here to be made against more than hillary clinton, of those that also communicated the highest level of top secret special access program information. ashley: but it's not going to

happen, matthew, is it? that's it. we've been waiting for this moment, and i said to sebastion, i felt like we were led all the way to the end, the climax and then boom he being too the carpet away, and we were left with no reasonable person -- we're not going to file any criminal charges but leave it up to the justice department. liz: saying there's a criminal charge of anyone? >> there should be. there should be. ashley: there should be. >> yeah. liz: are there grounds for it based on what the fbi director just said? rge?there grounds for >> well, again, the standard obviously is always the reasonable person, and he laid out a transcript that any reasonable person that secretary clinton, you know, should have known that the unclassified system was no place for this conversation to afford this information. that is knowingly. i mean that -- what is the standard? . ashley: matthew, let me leave it there real quick.

i just want to bring back in larry. this is going to be diseconded every which way from sunday. you're going to have attorneys from both side. what does that do for hillary? even though she apparently got off the hook. >> i haven't changed anything in my initial reaction. she's doing the happy dance. the case is open and shut. she should have been criminally inferred and indicted. she will not be and comey has a sterling reputation and therefore she can argue i've done nothing wrong. i made mistakes, i shouldn't had a private server, i agree with all of that, and she'll be able to say i did nothing wrong so she's doing the happy dance right now. >> larry, the reason i disagree with you right now is her number one political vulnerability is trustworthiness and this gets right to the heart of the matter is do you trust this woman to be the commander-in-chief? . ashley: no. >> what have we learned here -- >> her number one -- ashley: go ahead. >> number one vulnerability was the possibility that she was going to be indicted. that's all --

>> exactly. i think that is the key today. i mean when we -- after we really parse everything that comey said. it comes down to -- ashley: you're saying this dark cloud that has been hanging over her -- >> it's gone. >> no. no. no. i completely disagree with that. >> now, we will certainly -- it does go to her trustworthiness. there's no question about that. but the idea that she could be indicted, that's done. >> but did does anybody think this issue is not going to be the issue for the next four months? i mean really. it doesn't matter. but this is political ammunition. whether it pleases or not, it is enormous political -- >> ashley, you said it best. when we were watching this, how many of us thought it was coming? and i was more shocked when he said we're going to -- no reasonable prosecutor would prosecute this. that was shocking. ashley: it was almost like he's answering his critics that he has gone too soft. he went hard all the way through. >> it was.

>> for a man who wants to spend the next seven years as director of fbi, it was masterful. ashley: have we heard anything from donald trump. i've been trying to follow his tweets. >> it's going to be crooked, it's going to be fixed. we know what donald is going to say. ashley: system is rigged, that's from donald trump. exactly what we will expect to hear. you're saying she walks away from this. to larry's point -- >> she walks away from that indictment, that word. that whole idea that we could have a candidate that's indicted, therefore maybe she won't be the candidate? >> right. >> well, that's gone away now. >> i don't know about that. i'm saying all the criticism anthe parsing. >> there are a lot of nervous democrats out there right now. i guarantee you in saying wait a minute. we should have gone with joe biden. i mean there are a lot saying we made the wrong choice. >> the same people that said that before this. but today she's not going to be indicted. that is a big deal. >> it is a big deal.

it's huge. liz: top secret e-mails. ashley: yes. >> involved our fight against terrorism, cia drone strikes in pakistan and the like. ashley: reckless doesn't cover it. liz: so that brings up who can ham best 3:00 in the morning phone calls. ashley: let me bring in on the phone former state department official christian whiten, christian, your take on this and what's this -- we're -- we've got larry and georgette saying, hey, hillary clinton is doing the happy dance. what's your take? >> well, actually it's a fairly shocking decision on so many levels i dealt with the classified information at the state department highest classification level. and this is just fundamentally a corrupt decision, the timing is corrupt, the outcom corrupt, anyone who deals with classified information knows that foreign government is classified. anyone who knows that security requests, the movement of the

ambassadors and combat zone is classified information and that was in hillary's e-mail. the list just goes on and on and on, the timing was extremely suspicious too. the fact she was interviewed on a saturday of a holiday weekend and the fbi comes around the next working day and declares her all clear, that never happens in criminal investigation. so, you know, i think this feeds into the narrative that the system is rigged. i think it really helps donald trump. it would have been much smarter for the obama administration just to slow walk this past the election and it's very shocking. ashley: it is shocking. i want to go back to macdonald. liz: tweeted the system is rigged general portrays got prosecuted for much less. also another tweet from donald trump, saying crooked hillary compromised national security but no charges. wow. #riggedsystem. >> the right will spin it their way. but i think where you're wrong

with all due respect is those undecided voters who just don't know if they can tolerate trump or hillary, and they see this and wow could she really be the commander-in-chief -- ashley: after benghazi, after all of these things, they accumulate. >> i'm, by the way, one of the people when this story initially broke, i didn't think there was much there. but when i heard today fbi laid this case out, i was, like, wow. liz: right because the hillary clinton spun it as this is a rhetoric keeping issue. this is trivial. the first time we've seen ever a -- you know, secretary of state putting a private server in a home -- >> multiple servers. liz: multiple servers that was unsecure. >> how could she not know? >> of course she knew and we know she knew and we know all of this. we've been talking about this for months and months and months and months. ashley: so what? >> she was not indicted today. now, everyone says comey is such an honorable person, his reputation, he didn't resign,

all the things we've heard standing up for indictment. none of that happened. and none of what we're talking about we know that was top classified information. we've been talking about this for months. now of course we're going to parse it, and we're going to talk about it all over again for the next four months. it does give more to donald trump certainly. but at the end of the day she wasn't indicted. liz: two words, though, not mentioned by the fbi director. clinton foundation. ashley: that's true. no mention of the foundation. >> good point. and that's everyone thought the real vulnerability was there and yet not a single word about it. ashley: christian, the time you mentioned -- oh, christian's gone. well, he had a good statement and then he's gone. lots to talk about. so, listen, larry, you still there? >> i'm still here. . ashley: okay. so we talked about hillary, what does donald trump do with this? we heard the tweets, we know he's going to tweet.

he's got so much ammunition, but with this, he could be very effective; right? >> absolutely. he could just cut a spot and just have excerpts of what james comey said. the sword has been removed, the dark cloud is still there but as far as independent voters are concerned, i think it still comes down to the economy. hillary clinton's negatives are there. people don't trust her, that's built into the cake. but ultimately it's going to come down to whether or not people feel donald trump or hillary are going to make their economic lives better. ashley: joining us in the studio is prosecutor wendy patrick. wendy, thank you for joining us. we're surprised there's no criminal charges being put forward. we were led to believe from mr. comey all the way to the very end, we were -- you know, sold the thing, and he laid out a very good case and then no criminal prosecution or at least the recommendation it of. what are your thoughts? >> well, i tell you what. having been in front of judges for 20 years, they always do that. they start and you're led to

believe they're going in a direction, and it goes somewhere different. ashley: right. >> i have to tell you, though, i'm never surprised in a case in law enforcement someone honest about the fact this carelessness, recklessness, proof beyond a reasonable doubt is so hard. especially when you've got all circumstantial evidence and you're trying to deduce inten i. ashley: what's in someone's mind. >> is this all just about intent? that's the real question. is this all about intent? >> not completely because you were there's gross negligence standards too. here's where it gets more complicated. it's easier to prove conduct. yes, the fbi is an agency looking at the value of the case and is it trial worthy for a prosecutorial agency? they have to look perhaps technically they can -- they believe maybe have some evidence for lefter standards of proof not intent, which, again, you don't have to prove. they also have to take into

consideration and deciding can they in the aggregate meet that burden of proof? >> so you're saying you can't prosecute someone for being incompetent for the way they handle their business as secretary of state, even though it's egregious, even though it's clearly in violation of the rules, in this circumstance it doesn't reach the level of criminal? >> it doesn't and remember whether it reaches the level of criminal is one question because law enforcement agencies, they have probable cause, they have different levels of proof. but when you're talking about handing it over to an agency that's going to file charges and prosecute a case, it has to be a higher level of proof. >> to harper on this point because it's so important. we listen to what the evidence that the fbi director laid out. it sounded to me like gross incompetence. liz: could a misdemeanor charge be brought on that? >> and the level of intent -- and that's what donald trump has already stepped out.

that's what the naysayers have been saying all along is why does it seem like if you look in the aggregate people have been guilty under far left -- far left conduct? it's true and they're going to have those questions to answer. but ultimately the conclusion was well reasoned, well researched, and well investigated is what they're going to come back with, given the length of time they've been on this. >> is there a thing such as double jeopardy or anything like that. they can't come back and say, well, we found something else. >> they can still indict. this is just a recommendation; right? >> and remember that new evidence comes to light all the time on both sides of the -- liz: could aid be charged? >> lots of people could face liability if, in fact, we find support -- >> has hillary fired anyone with respect to to this? . ashley: good question. not to my knowledge. no, i know some of her aides pled the fifth. >> most of them are still with

her and major parts of her campaign. ashley: so what about the department of justice? they get this big pile of papers from huge boxes and, you know, they use fork lifts to bring them in, and they heard the recommendation. what's the likelihood of them doing anything what the fbi said? >> well, a lot of them are aware lots of facts and circumstances that we're not. so we're at a disadvantage brainstorming to the table. we have great ideas and basing it on precedent, which everybody does but also not privy to all the details that they are. they've been doing the investigation for how many months now? we knew it was nearing its end and then finally mrs. clinton herself. but they probably aren't as surprised as the rest of us are because the know the back story. liz: i still don't get it. general petraeus is charged for misdemeanor recklessness. but hillary clinton won't be charged? . ashley: i don't get that. >> and there's differences. there's a difference.

>> difference based on party? >> that's the argument, isn't it? >> they would be factually if you break down the level of misconduct. >> i don't know how petraeus did worse than what hillary did. ashley: because he's in the military? >> there's no military exception to the law. liz: do you need intent to be extremely reckless? >> well, intent is above recklessness but ultimately that would be the best case scenario. not that it was technically necessary but that would make it a case. >> there's another -- there's another angle to this that i think we should be looking at. and that is comey's reputation and lynch's reputation. . ashley: well, comey's is stellar. >> stellar. however, let's see how this plays today and the fact that she didn't get indicted or he didn't recommend. so is it more of the damage of

fall out around clinton that seemed to happen to people that had very good reputation? look at lynch and comey both -- ashley: you mean the clintons are going to bring comey down? >> no. i think the conversation will be now why didn't comey indict her or at least misdemeanor? and was he not what we thought he was? >> well, there's another point here. the ig report came out -- ashley: very damaging. >> one of the most damaging -- about that report is that hillary and her aides did not cooperate one iota. again, why is it why they wouldn't cooperate -- ashley: let me bring larry back in the conversation. larry, you've been listening what's being talked about. what are your thoughts? >> well, i think it raises a very interesting question about comey not making criminal referral and hillary very likely not being indicted. if donald trump wins this election, will obama pardon fowler past, present, and future crimes?

because this could be reopene r. ashley: no way. >> i'm not kidding. ashley: john, republican strategist in washington. john, come in. you've been following this along with the rest of us. still in a little bit of shock because we thought it was headed one way and it didn't work out that way. and we want to know why. what's your thoughts? >> well, the fbi director laid out a great case for what i believed was an indictment. talked about over 60 e-mails contained classified material, some of which at the highest classification. additionally when he read out the charges saying hillary clinton and her staff acted recklessly, a reasonable person should have known better, i thought, man, maybe this is -- very strong. but i thought 793 subsection f of the u.s. code is negligence there. and i thought that even with all the charges being read, my opinion is that hillary clinton ran her state department like a corruption castle that even former rob

would say was illegal. ashley: wendy, explain. >> let me tell you why he did that and lots of times when you hear a nonindictment after all of this hype and public outrage people will say, yeah, well, he didn't consider this or that. had the fbi looked over here or there. by the speech leading up to the announcement, he let everybody know he did consider all the facts and circumstances. so we've got to -- ashley: covering his backside. >> we've got to respect the integrity of the process. we were saying that. ashley: yeah, okay. >> and he did that to make sure that we're not sitting here at the table afterwards saying where was he when this happened? why didn't he look at that? he did consider everything that we know about and much more, i guarantee you that. and then still reached that conclusion. >> but we don't necessarily agree with that. what we heard him say, be we all thought he should be indicted. so just because he gave this case that they considered everything. if they considered everything -- ashley: well, they did consider everything. >> the conclusions they came to -- don't add up. >> that's why people are wondering whether this was a political decision. and it gets back so what we're

talking about. why petraeus and not hillary? >> rigged; right? that's what donald. ashley: what did she and we're talking about bill clinton meets with loretta lynch in some far space and all very strange. and then interview hillary over the weekend for three hours. today they clear her of criminal charges, this afternoon she jumps on air force one and goes to charlotte, north carolina. it's all very convenient, isn't it? >> right. you know what? i think this shows even more that the clintons work on a different set of rules than the rest of us. the fact that they can have -- bill clinton can have the attorney general potentially handing over an indictment for 35 minutes talking about grandchildren and golfing, it's ridiculous. i just can't believe that the fbi has taken this road and the state department obviously i believe with some potential cover up there because she continued to say there was no classified material, no classified material and some officials in the state department agree with her.

liz: let's be clear. the director saying 110 classified, eight of them top secret. ashley: the top of the top secret. >> and thousands were secret, which is not quite the top. . ashley: yes. yeah, listen, how much -- does commie come under fire here, wendy? >> he already has. ashley: he has at this table. >> i think the conversation of this table is represented in living rooms across the nation. >> i agree. >> and he knew that was going to happen when he came to the conclusions that he had which, again, is no doubt yes laid out the speech. >> and it's why this isn't going away. >> and it may not. in fact, just because there's no charges today does not mean as some of you have inquired he really does it mean there may not be some level of liability, even criminally for some other acts. >> now, hillary is going to have to respond toviously. . ashley: when will she do that? >> that will be a key moment for her presidential campaign. >> or does she? >> she's going to have to. been dogged by this for four months. ashley: the debates will be interesting. >> i think she's going to have

to -- in the next 48 hours going to have to address this. and she's got to knock that out of the park. she has to sound compelling, be powerful -- has she said she's sorry? i don't even know if -- ashley: what does hillary clinton do now? how does she spin this? >> i think she -- i disagree. i think it doesn't have to be one of these big speeches where she lays out. i think she just says, you know -- ashley: i told you. >> i told you so. >> i don't think that works. i don't think that works. >> look, we did everything -- i always said i'm sorry. and, you know, we probably should have done some things differently. ashley: i acknowledge. >> and that's it. she doesn't have to blow this up even if you are the because all she can do is then the more she talks, the more we number the lies. one, two, three, four. ashley: does hillary ignore this or head on in the next 48 hours? >> no. she'll say i've been vindicated. i told you all along i did

nothing wrong. there was no intent. president obama even said hillary would never do anything to harm the nation and we've been talking about david petraeus and remember david petraeus said what she did was different what i did, giving her a lifeline. >> are you saying this was essentially a white wash by the fbi? >> i think that based on what she said for 80% of what he said, i thought he was going to recommend a criminal referral. ashley: we all did. >> i was stunned when he didn't. and given his recipe, that means she is home free as far as the indictment is concerned. so she will say i have been vindicated. >> i think her reaction should be different than that. i agree, larry, she is definitely going to say some version of that. i also, however, think she now has the space to give more of an polling than she did before. remember before when she addressed this, she still hadn't been interviewed. the pressure is off. can you imagine how relieved she felt today? she never really knew.

she might have the space and the luxury if you will of laying out a more detailed and more heartfelt. ashley: what did she does that make any difference to the voters? >> the voters, it might. >> i don't -- i agree with you all on this. i think this was a terrible, terrible day for hillary clinton. . ashley: what do you think? do you think hillary clinton has the breathing room to discuss this issue? can she appeal to voters or not lose voters at least from the outcome of this? >> i think that she will lose voters from this, and you think about what the fbi director said in terms of her acting recklessly. to me, that was saying her and her staff acted like a loose canyon and you know what a loose canyon sometimes do, miss fire. we really cannot put the well-being of our country in her hands because she acts recklessly when it comes to the lives of the american people. ashley: you know what? going into this, almost everyone i spoke to said i don't believe there's going to be a criminal prosecution. liz: yeah,. ashley: did you hear that,

steve? >> i did not think there was gab a prosecution. come closer to the edge without a prosecution. ashley: it's like we're all sitting here surprised when we all didn't think it was going to happen anyway. >> but now it's real, we're all reacting the way when we first heard about this. >> yeah. >> we can't believe the level of recklessness. liz: and also underline possible hack -- ashley: that's frightening. >> also something you've been talking about. not new to the public. >> so now she has to campaign for three months saying i was grossly incompetent. [laughter] >> you bet. ashley: and to wendy's point, still there could be charges down the road, what's the likelihood of that? >> low. [laughter] low to none but nonetheless if it's any solis, no evidence has ever closed. ashley: make a statement or just say thanks very much and

never deal with it again? >> they don't have to. like you said eaie hillary clinton has to speak, nobody else necessarily. ashley: boy, we've run out of time. john, wendy, steve moore, you've been brilliant. thank you, one and all. that's it for us. now to charles payne. take it away, charles. >> thanks a lot, ashley, shocking breaking news fbi recommendation no charges for hillary clinton, the entire presidential race, though, has changed big time and over the next few hours, we're going to get reaction, we're going to get fall out and of course the market's impact. but first blake burman on what the fbi just said. blake. >> hi, there, charles, comey just said after her tenure her colleague were quote extremely careless in handling classified information. however, james comey added his fbi agents did not determine there was malicious intent in the way clinton handled her e-mail arrangement. he said no reasonable prosecutor would bring a case