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tv   Cavuto Coast to Coast  FOX Business  May 17, 2024 12:00pm-1:01pm EDT

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number one? stuart: she asks tentatively. >> i'm not confident. there's a lot of weird ones like javelin and shotput and stuff like that. stuart: i want to go for soccer. review please, the answer is -- you are right. track and field, 2200 athletes representing 200 countries will compete in 47 events, that surprises me because those 11 players on a soccer team at most countries submit a soccer team to the olympic so i got that wrong. lauren: you seem better about it. >> appreciate you letting me be right. >> i've only been right one time this week. stuart: what was that? girls name, mary. i've got account down. time is up for "varney and company". coast-to-coast starts now.
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♪ neil: pay attention, who knew freddie mercury was 40 years ahead of his time and that box, four decades since that queen song hit the airwaves. the dow at that time was around 1100. not 11,000, 1100. today the dow is teasing 40,000, you heard that right too, 40,000. 40 times what was then. we do the rough man for you sometimes using calculators. the dow has already been there, just can't close it. you might say it's trying to you guessed it, break free. see what we did? that is what we do. you are welcome. america. we had some fun with that.
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i remember vividly that song right before i got married, i love love love it. on this milestone mission friday, that's what we are focused on, wanting to break free, to close 40,000, less than 99 points from there. let's go to music and otherwise. we make a big deal of attempts to break into a milestone. often there are several events, a lot of them. >> we will definitely go through whether it is today, next week or most likely before the end of the month. a lot of people would say it is just a number. in terms of valuation it doesn't mean a lot but it is a huge psychological level. psychology is important for the market. it's not just about that. it is almost like the
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everything rally. you've got the s&p 500, the nasdaq in new high territory, looking to close the week with another new high, you've got gold and silver trading at new highs, gold above 2400. has been there a few times and a number of other margins around the globe are trading at all-time highs, 52 week highs looking to expand on the rallies we've had this year. lauren: 1 make an analogy about 40 years since we heard that queen song and the testament of the markets keeping their patients and being a long-term investor going up 40 times what was since then comes out to an average return a little under 12% but that tells you
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something about the strength of compounding, staying patient, averages that do no more than mimic what you are seeing in the broader markets. >> a testament to our capitalist system, the stock market, dow jones industrial average which is always a major benchmark despite only having 30 stocks, the names have changed to stay current. obviously the s&p has been a thing since the late 60s or early 70s and has done well. the s&p 5,000 a couple months ago was a major milestone that got overlooked a little bit by the financial media.
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neil: jamie dimon worries about the happy talk and others say be careful, one of the wyers talking about, civil wars a good possibility in this country. they are putting out i call the mornings or may be they like playing debbie downers to say this ain't real. do you think this is real? >> it looks real to me. if you are in a position of jamie dimon, lending your support for jobs, to think about what could possibly go wrong, what could possibly trip up the very positive environment we've been in for a why all because certainly if you look back over the decades there have been moments when things have happened from an unexpected angle causing quite a significant hiccup if not
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setback for the markets on a number of occasions. we know what they are. that is kind of for their job to do that. i also think to the degree that that is effective, a lot of people in the financial media who go on financial media networks managing money or prognosticating, that has helped to fuel the rally because clearly what has been going, if you were to go back to the end of april after we had a little bit of a selloff the maximum pain trade was up and we've been up pretty good so far this month. contrary to what we get in the month of may. todd: i might have bored you with this story but you reminded me of similar things about being a long-term investor, a chart of the dow
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from the very beginning and from a distance, it's obviously at my desk, it goes up. you get closer to that chart and see the jagged edges over presidential assassinations and oil crises and wars and conflicts and racial riots. in real-time very jagged, very scary, very offputting but the trend is up. people forget that. >> a very smart investor told me a number of years ago, he was nodding, but he tried to explain these per my bears are eventually going to go away evidenced by the fact that those people who have been betting on many occasions the last few decades on the end of the world, it has not played out that way.
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>> i hope you are a queen fan, tim anderson, managing director, if this market turns itself, a brutal selloff is coming. we have queued up under pressure but we will keep you -- not doing that one but under pressure because we thought it would work there. edward lawrence, maestro that he is on all things music and culture is following the president at the black history museum today. what's the subject besides music and queen? >> the president wants to say we are the champions going forward into november but the president is focused on minority voters, he is spending saturday in the battleground state of georgia in atlanta talking with georgia voters and his principal deputy campaign manager outlined in a memo the biden campaign has hired and trained 20 staffers in georgia as well as plans to open ten offices by the end of this month.
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the new york times siena college poll found the former president is 20% of the black vote in battleground states. if that hold through the election it would be historic for the former president, the naacp and the white house yesterday saying he does not believe the polling about minority support. >> i don't accept the premise that is an erosion of black support. i believe polls have proven itself to be untrue for the last four election cycles. i believe we are in a crisis of our democracy. >> reporter: on sunday president biden will give the commencement address at morehouse college, white house senior advisor told another network the president might leave in his stance on israel but the day is about the graduates. >> it was important for us to realize these kids didn't have a graduation from high school, now these young men need to make sure they have a meaningful commencement, and
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president plan biden plans to deliver on that. >> reporter: the morehouse college president said if there are protests he will stop the commitment at that moment, those protests have been following president biden. stuart: neil: the administration is doing more crowing about the markets of than it used to may be owing to this teasing of the dow 40,000, the latest. he said his predecessor donald trump was over obsessive about the markets, suddenly they are as well. >> reporter: into tempered response, they definitely promote the things that have been good for them and downplay the things that have been bad for them and it shows in the inflation report of the jobs report, negative jobs reports downplayed with positive jobs reports, president biden obviously singing praises now of the dow, poke a little fun or finger at donald trump because he was so focused on the stock market during his tenure.
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julie: are the champion, thank you for that. edward lawrence. if you think i'm done i still have two more guests to exhaust this clean analogy. the top advisor to jeb bush, former florida governor joining us now, former new york state leader, democrat. let me talk to you first as someone who can give us a view what the president's thinking, crowing about these markets, not crowing too much but trying to say this is a sign that america is coming back, the underlying economy is good, markets are bouncing on that, you should be happy about that. is that working? >> it's always easier to blame than to boast. we see donald trump doing that, talking about all the things that could be bad in our economy and not focused on anything good. when you boast about what you've done people tend not to believe that. that is why negative advertising, those campaigns
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are so popular. biden will be careful here. we've learned the lesson, he's got to say this is something that transcends, one of the economic indicators that people can relate to with the dow. it only tells so much. the real problems are the divide this growing in our country, that the economy might be growing, people are being left behind and we see that certain demographics in chosen polling and that's why he's got to talk about his empathy for communities across the country and how he will help the more than donald trump will. neil: can't risk telling the american people they are imagining what they are going through. you have a unique perch on all this as former advisor to jeb bush and his dad, george hw bush arguing the economy appeared to be in a recession was actually coming out of it, it was at that time, too little too late to help them and bill clinton came into office but he
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too was saying the seeds of recovery are here and it fell on deaf ears. the biden folks like to think the markets, the economy, people have had time to digest that, to make that argument. what do you think of that? >> a tough argument to make when people's 401(k)s in stock market's going higher, they've got to talk about that, the only piece of good economic information. the inflation rate is still too high. more americans are falling behind on auto loans and credit card debt according to recent data so there's a lot of people in terms of what they are feeling, they are not feeling the economy getting better, the stock market might be getting better but that's more of a future indicator of where the economy will be 6 or 12 months from now but people are feeling, experiencing right now, high inflation and high interest rates for home loans.
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julie: we can all talk about the markets but is it a leap for donald trump to say they are doing it because they have been doing it because i'm going to come in and they are optimistic about that? >> it's a reasonable argument for donald trump to make. when you look at the polls from the new york times, news organizations they also donald trump winning in the swing states and nationally. so if anyone would say donald trump is more likely to be present now than not, that's built-in right now to what the market is doing. >> i think it's like having your cake and eating it too, saying we are going to pick and choose what economic indicators we want to take credit for, which ones we don't so it's either you take in all are taken nothing in the fact that you try to boast that it's because of what might happen come in january of next year, that is outrageous.
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when you point to the fact that president biden has had these successes whether it's the bipartisan infrastructure bill, the inflation reduction act, the chips act, helping put more money in americans pockets, having the cost of prescription drugs, the list goes on and on but you have to be careful in the political sphere when we try to give too much credit to ourselves and biden has a lot to talk about in terms of his accomplishments. you got to be careful because it's quick and easy to take out a few problems to attack and it's easier to believe those negatives than those positives and that is why biden has to be out there listening to people and understanding there is this growing divide and many people are getting left behind and he is going to be the president who make sure they get that boost into the future economy we are seeing in the united states and around the world. julie: watch what happens, thank you both very much. this is what we are keeping
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focus on regardless who gets the credit. a lot of people say it's the federal reserve, a safe landing, interest rates stabilized a little bit and corporate earnings coming in. the dow right now is 93 points away from 40,000, nothing we are obsessing but to put it in perspective the dow is already up about 50% and two years, it has doubled over the last four years so it has been on a bumpy, torrid pace for a little while and it continues this week. more after this. ♪ (grandpa vo) i'm the richest guy in the world.
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teasing 40,000 saying a lot of it is based on the markets and investors being excited for him returning to the white house would somewhat agree with that, some would disagree. there are other factors like the economy, improving inflation news, corporate earnings. having said all of that donald trump is saying this is a preview of coming attractions if he gets elected and the markets are seizing on that. talk about anything and everything. lydia should know. she's been covering this trial very closely and often times been in the room itself where this is happening and joins us right now. back to michael cohen next week. >> reporter: it sure is. yesterday when i was there the defense team continue to do their work tearing apart michael cohen's credibility. they hammered on his repeated lies to congress, the fact that he pleaded guilty to tax evasion and pleaded guilty to lying to a bank but through all that scorching
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cross-examination, michael cohen maintained his composure in the courtroom and the defense was ready for that counter of your to jurors and other side to michael:and what they say are his motivations and testifying against trump and used his own words when they did that, the defense played part of michael cohen's podcast when he was talking about trump. >> i hope this man ends up in prison but it won't bring back the year i lost or the damage done to my family but revenge is a dish best served cold and you better believe i want this man to go down and rot inside for what he did to me and my family. >> a different side from what the jurors were sitting on the witness stand. todd blanche also suggested cohen was continuing to lie to jurors in this trial. blanche cross-examined cohen about one particular phone call, cohen had testified he called trump's bodyguard q
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schiller to fix with trump and cohen said he told schiller and trump about stormy daniels and that call telling them that the nondisclosure deal was done. but on cross-examination blanche used text messages sent around the time of the call to suggested cohen had been receiving prank calls from a 14-year-old and actually cohen called schiller to discuss that harassment. blanche said to cohen, that was a lie. you did not talk to donald trump on that night. you talked to keith schiller about what we just went through. can you admit it. cohen answered no, sir. i can't. i'm not certain that is accurate. but the suggestion that cohen was lying about the phone call, or wasn't forthcoming with a phone call was about standing inside the courtroom. of course cohen is the prosecution's final witness, we expect the cross-examination to wrap up monday and that we will see whether or not the defense team has witnesses to call.
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seems like we are approaching closing arguments, the judges asked them to be ready for closing on tuesday. neil: glad to have a former manhattan prosecutor here, great to have you. how is this looking for the prosecution? >> the entirety of the case, evidence is coming in solidly. they've done a good job. it's difficult many there's plenty of people who will say why are we doing this but whether we are saying why are we doing this, look at the four corners, have they establish proof beyond a reasonable doubt and how do they challenge? their goal i believe is to make it look like it is the stormy daniels blackmailing story and the michael cohen lying non-part of the story, they want to move it away for falsifying business records, not an easy thing to do. lauren: 20 in the case of
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michael cohen, the defense testing his credibility that he lies, perjured himself on the witness stand, don't know how true any of that is but he looks like damaged goods into the jurors the defense is trying to say you are going to believe this guy? >> i don't think he perjured himself. it's not mutually exclusive to say i spoke to you about one thing to corroborate that but i spoke to you about something else as well, those texts are not a goldmine. neil: is an overreach. >> they are doing their job because anything you need to do you should do which means you want to make michael cohen look like a dishonest person, someone who is selling out for his own gain and out of vengeance but keep in mind, i say this repeatedly, the prosecutor, kebab defense attorney. if your goal is to get the bad guy, the kingpin, who are you going to get to do that? not a choir boy, you're going to get the person who has his hands dirty who's involved in the scheming, that's how you
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get the main bad guy. not saying he's a drug dealer or kingpin but that's the same concept, got to get the bad guy to get the bigger bad guy. lauren: 20 i know what you're trying to say, on the misdemeanor side, that's what it is limited to, you have to bring it up to the felony charge, if you're writing checks on one account or another account with the intent to cover something up, in this case for the election violating state law, violating federal law, that are tough feet, isn't it? >> it more difficult than grand larceny because you can look at a record that shows embezzlement and you are good to go. it's more difficult thing and also because it's unique, how often do you hear of that happening? what will ultimately occur is the defense will ask for trial over dismissal saying what the prosecution has done his they
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failed to establish but it's a very low bar for the prosecution at that stage in the process. . we 20 is any of this appealable? the jury takes this up and convicts him on one or several charges, you hear from a lot of lawyers that it is, there are some appealable grounds? what are we looking at? >> even if there's an appeal which there could be, that takes time. does that mean ultimately he wouldn't be convicted? that he had to be seen but if convicted on misdemeanor or felony he has a right to appeal and i was submit if i'm the prosecution i would ask the judge not to allow the misdemeanor to be convicted. it's all or nothing, want to just the family, wouldn't want to hang your hat on misdemeanor because that would be a loss, the same way misdemeanor would be. as of now the evidence has been going very well but michael cohen, if you can make about him, and incredible or dishonest person with an agenda, that can poke holes in the case for the prosecution. . 20 they are the ones who decide
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this. >> a sleeping jury is an acquitted jury. a sleeping jury is an acquitted jury. neil: you are good at this. appreciate it. keeping an eye on oil prices because of these houston floods and storms that killed four people already, 900,000 of that how do you mentioned that in the context of houston, a lot of oil refiners, 10 by the last count, 2. 6 million barrels of oil a day. obviously that is stymieing, that's why oil prices are moving up. it's not a permanent event but you often see this play out in hurricanes and the like, refiner activities drawn to a halt and that is what is happening today. oil prices up, the latest on what's going down after this. salonpas lidocaine flex.
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neil: not new, houston gets rain, bad storms, they got a lot of those but when they come together it can be a we could mess to put it mildly. four known dead, 900,000 without power. this is expanding into louisiana and this is a big refinery production area, houston alone, but intent of them last i checked. if your email me to say we have a dozen. i stand corrected. bottom line accounting for 2.6 million barrels of oil. they are changing on the upside. this could be one of the catalysts. the fact is for those out of
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their homes were flooded out of their homes or loved ones dealing with deceased relatives, that is a small measure to them. katie burn on what she is seeing. >> reporter: the cleanup efforts are the priority, it will take a while to fully cleanup of the city, crews racing to get the work done because another round of rain is starting right now, you've got crews out here sweeping up glass and debris that blue out of office buildings in the downtown area as city officials are warnings of hundreds of thousands without power, to prepare for it to be out for potentially weeks. we have ten transmission lines down right now. that all happened when strong winds. through at dinnertime, libraries opening their doors to people is a place to cool down from the texas heat and
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many are working from home, schools closed, city streets shut down, covered in glass and debris from blown out windows and office buildings and hotels. people are repairing the damage to 9/11. >> the towers of 9/11, looking at the building, reminds me, flashback to those days, looks almost the same. a bunch of broken windows. >> four in houston died because of this. one of those victims was inside this truck when a crane came crashing down. national weather service has teams on the ground in three different teams, different part of texas including here in harris county to assess the damage and figure out what happened whether it be straight line winds, possible tornado. the result is all those things
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have the same kinds of damage in the end. widespread damage across the houston metro area. neil: that is incredible. rick reichmuth warned folks about this and the threat is still very real from or flooding to the weekend. >> reporter: the ground has been saturated across east texas and louisiana. where are we? 17 days into may, some spots here, 15, 18 inches of rain, that's why we've had such incredible flooding, almost all the rivers here in the some sort of flood stage, you see these purple ones around houston-area, missouri, major flood stage, that water continues to rise for a little bit before inches toward the gulf. one last batch of rain coming through here but this is the stormy part. what we saw in houston was straight line wind, 80 miles an hour, storms went through last night. we've been talking about flood threat, not as much about the
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severe weather threat and flooding and because of that we have 745,000 utility customers without power and with that, watching temperatures begin to rise. by tomorrow looking at a high temperature of 91. it will be humid, hot, a lot of people will be without power and that creates another set of dangers for people so make sure you are checking in on your loved ones. one more batch of the flooding we are watching, the storm pulling off to the east. some spots of scene 5 to 7 inches of rain. most of this is just to the south of interstate 20 but today another big threat for flooding across the big expanse across the southeast, here where you see this yellow is a level iii of 4 flood threat so you get the idea south of i 20 throughout alabama, part of georgia as well as a little bit of severe weather we will be watching today and tomorrow before this is done.
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much of each texas is drive for at least the next 5 days, that will help as people begin the cleanup, getting water levels to come down but the ground is so saturated right now it doesn't take much more rain and i will tell you what we've seen this winter, really wet winter has left the ground saturated and we are heading into what we think will be a really active hurricane season. it will not take much to get significant flooding stories going on this summer across the southeast. people need to get those preparations in place. neil: you are the best and appreciate that. the meantime, rocky start to a pga championship for scotty scheffler, normally one of the wealthiest golfers on the planet but rated number one. he was arrested this morning, he has been playing well since returning to the course. ♪ ♪
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only a rounded number, no one else in america cares about it. okay, there you go. the other market averages aren't following suit. they all had a record-setting week depending on the day. readit might be the latest to enjoy that ride, shares are up on news of open artificial intelligence content. put anything like a i into anything, this is for you serialmakers, put ai on what you are doing, gary is with us. what do you think? do you follow those milestones? just wondering if this one holds anything? >> it's not just one thousand. its 40,000. we are talking 10,000 at a time. i think it is important
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psychologically when all is said and done that the market decides where it is going to going to its in decent shape. i can pick out a few things that aren't but when all is said and done we had good reaction to earnings, earnings are good. forget the fed. interest rates have quieted down. we went from 47 on a 10 year to 4-numfour. jay powell -- >> dow 40,000, interesting development. appreciate graphics and all of that. >> most importantly the wealth effect, the fact that so many people have 401 ks, not a bad thing. neil: a lot of viewers, to those viewers, [raspberry]
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neil: why did i look up to do this show? whether we had 40,000 today, tomorrow, long-term is a reminder stocks are a good bet. it can be a jagged path, invariably profitable. >> doing the show with you guys, you guys are hilarious. >> and and they -- more than the nasdaq and the dow. and very high fiscal spending. and raising their balance sheet, when you have liquidity in the system.
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and inflation will reinsert accelerate. and a lot of the components. we are not out of the woods yet. >> the nasdaq what have you. and it is 12%, as its move and momentum. >> with the s&p it is very interesting. the s&p usually had a response to liquidity, correlates heavily with the fed balance sheet. what is interesting is they took over from the fed balance sheet.
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lots of money continuing to go out and approved. biden will be spending a lot into the election. barring something interesting like a credit situation, anybody defaulting which credit card defaults are going up, you will see continued appreciation in the s&p, dow, nasdaq. it will continue higher. neil: you have more special graphics, to using a little bit out of time. some news that shocked the world, anybody knows the name scott scheffler, the number one golfer, the star of the pga championship. what was going on? >> the incident happened while police were directing traffic around an accident investigation.
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and killed a pedestrian, to the golf club in louisville, kentucky. and stuck in traffic, driving a marked players vehicle and following one officer's instructions when alleged to have disregarded another officer's conflicting instructions. this video of scheffler in handcuffs, police officer attempted to attach himself, scheffler stopped his vehicle at the entrance to of all hollow. the police officer began to scream at scheffler, shoved her scheffler, placed him in handcuffs. and insulting a police officer,
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disregarding traffic signals. the the police officer was injured and required treatment. scheffler issued a statement explaining there was a big misunderstanding about what i thought i was asked to do, never intended to disregard the instructions, to focus on golf today. scheffler was released on his own recognizance and made it teatime, in this ordeal, scheffler is arraigned on tuesday. his attorney plans to plead not guilty. neil: do the officer know who he was arresting? >> apparently not. in the video posted by the espn reporter. do you know who this was.
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and he is the world's the best golfer. >> scott scheffler, and you can imagine it has shaken them up somewhat. and they were sharing stories about scotty scheffler. more after this. ♪
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a future where you grew a dream into a reality. it's waiting for you. mere minutes away. the future is nothing but power and it's all yours. the all new godaddy airo. get your business online in minutes with the power of ai. >> something today made me worse than anything. president xi of china, president vladimir putin of russia, i know him well, right
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now to gather working on plans where they combine and do damage, doing damage, take a look at what president xi did today, fully expects to take taiwan. made that statement today. that's a big statement. i am sitting here on an icebox. neil: donald trump calling on this meeting, third time this past year vladimir putin and xi jinping in china talking partnerships and the like. the virginia republicans sits on the house armed services committee on china, what do you think they are up to? what their plan? >> reporter: xi and vladimir putin are growing the axis of evil, to assert their power against the rest of the world
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and what it also says is they are emboldened by the withdrawal from afghanistan by the biden administration and the weakening of sanctions against iran. of a see an opportunity and the opportunity that has been put in place by failed policies of the biden administration. neil: if donald trump or biden were president, what would change if donald trump were president? >> we know donald trump has taken actions against china. look at the tariffs, when he has said the things he has done things. what china and russia will know is there will be actions under a trump administration and they will expect the same list of failed policy from a biden administration. neil: he has indicated a distant view of ukraine, that he wouldn't be the same as president biden. if you are in ukraine that
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would worry you. >> what he is looking at is how do we make sure we strengthen our relationships with friends and allies around the world? that's the biggest counter to russia's aggression and china's aggression. those are things that have to be done. we can't do all this by ourselves. how do we strengthen those relationships? how do we make sure people in the neighborhood do even more? to get nato partners to do more or how we are going to counter russia and their continued aggression against ukraine? no interest in relenting but i do think we can bring pressure on them. neil: have a safe weekend. corner of wall and broad, 68 points away from 40,000. jackie deangelis

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