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tv   Cavuto Coast to Coast  FOX Business  April 23, 2024 12:00pm-1:00pm EDT

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mercury. the planet is slightly larger than our moon. i did not know that but i was taught pluto was the smallest planet. a few years ago they said it is not a planet at all. lou:is mercury next to be downgraded? stuart: it's a little larger than the moon. 30 seconds left. >> what you think microsoft will do? ever a price target you sell? buy-and-hold forever. stuart: it's been in the family for a long time. does the reports this afternoon at 4:00, see what musk says about the robotaxi. that will determine where does the goes. coast-to-coast starts now. >> place your bets a week from the fed meeting, investors are
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pricing in a rate hike in the next 12 months. you heard it first out of the mouth of neil cavuto on coast-to-coast, starts right now. good afternoon. i am edward lawrence in washington dc. brushing off the rate worries focused on big earnings, rally led by technology, the dow and the s&p and the nasdaq up big. let's get to madison venture partners's mitch rochelle. meta-reports earnings tomorrow. 11 of the 30 dow members are reporting. what are you looking for in earnings for that company and other companies for stability and growth? >> i focus more on the remarks on the call than i do on the earnings themselves.
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earnings are back looking and the calls tend to be forward looking in the market as a forward-looking mechanism. any sign of optimism that responds to inflation that seems to be persistent. more stories about job cuts in the tech sector. what management has to say about whether they are creating earnings by lowering operating costs. edward: we will see first quarter gdp estimate yesterday, friday the favorite inflation measurement, federal reserve may have rate cuts this year. the options market starting to price in a rate hike, putting a 20% chance this year. listen to this. neil: it follows a trend of good news, consumer sentiment
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picking up, factory activity picking up. i am wondering if the new worry could be maybe this will require hikes? edward: what do you think of that? >> neil and lou are right and it is something i've talked about on this network, that it -- potential that there is more hikes in the future than cuts or if you want to pick the compromise position and you do nothing. the second half of the year in washington, will be focused heavily on the election and i don't think powell and the fed want to find their way in the middle of the election by drumming up the inflation story.
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inflation is real, oil is the biggest thing that fuels inflation, no higher than $80 a barrel, that makes inflation sticky. i am concerned. edward: is it because of the price of oil pushing gas prices, and to destroy demand. what the fed's goal is, demand starting to fall, higher prices are doing the job and inflation is curing inflation, the fed doesn't have to step in. if people continue to spend and rack up credit card debt and the fed needs to pull off the economy by raising rates they are prone to do so. edward: could we reach 40,000
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on the dow should be slough of the company starting to see? >> i look broadly at the s&p and the problem is so much of the story was a handful of names driving it. the better story would be seeing the market broaden out and the big tech names not driving the market forward but i have a feeling we will be back to the future if tech names report stronger earnings and have forward guidance that look strong and find ourselves with 38 names driving the market forward once again. edward: we went from 200 back to 200. you are keeping it going, keeping the rally going. appreciate it. fox business alert, and demand
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the trend affect, for more on that, let's go to susan lee. susan: we have 40% of the s&p 500, wall street looking past peak tech valuations, apple sales struggled, iphone sales continue to fall in china including counterpoint research, worst quarter and four years to start the year and they are using market share in the third-largest market to android phones, lower cost competitors, while way another brands and that is why apple shares are down 15% close to its lowest in 12 months. they are losing $1 trillion and that is on higher yields,
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sticky inflation. has lie had the worst year down 40% and tonight most chesler analysts have warned of an ugly quarter, the worst in 7 years. gross margins is what it is called. how much elon musk is selling on his cars after price cuts. and he likely, the self driving pushing robotech and that's the cost of shoving the cheaper car model the model 2 which costs $25,000 but also get a chance to prove if it is worth $56 billion pay package which is a
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corporate history he's pushing back in. chesler tonight, meta-tomorrow, microsoft thursday. i will speak to alphabet's president on the earnings thursday. i would say the meta-microsoft, ai story, if they are starting to make money from this new technology. edward: when elon talks everyone listens. the main smart phone is getting a lot of love in china. the senate could vote as early as today on $95 billion aid package for israel, ukraine and taiwan following every twist and turn. ozempic teen, follow what's going on now. >> reporter: they are working on the foreign aid plan. the senate passed an earlier version of the bill two months ago with 70 yeas. there will be a smaller vote
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count today or tomorrow. >> the time has come to finish the job, to help our friends abroad once and for all. to push the supplemental today as expeditiously as possible, send our friends abroad the aid they've been waiting for. >> reporter: there is skepticism about aiding ukraine. j d vance of ohio has been outspoken. mitch mcconnell has pushed for months to win money for ukraine. mcconnell lectured his adversaries today. >> so much of the hesitation and shortsightedness that has delayed this moment is premised on sheer fiction. i take no pleasure in that. >> reporter: passing the bill would be a achievement for mcconnell, there are four
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separate aid bills combined into one. one final vote in the senate. conservatives want to break up the package. >> the house procedure, magically merged together into one bill they receive and process. this is some trickery. trickery that i don't like or appreciate. republican on republican violence. >> reporter: there is no border security and the bill and much of this is money unpaid for, watch to see if there are more gop names than yays on the final vote. edward: always interesting. as chad explains, she's conservatives are fuming about the bill not being paid for. joining the is american action for an action, douglas holtz eakin. aside from the politics, what do you think of that?
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>> the us has alarmist deficits, $2 trillion, a debt load that's rising, and every thought should be toward better fiscal stewardship, paying for new spending. edward: in 20 years, the us debt will cause everything to come crashing down, it will be so big that inflation will spiral, from the red-hot reaper chili pepper or the mild dried chili. where is your concern about debt and the debt bond? >> two things to think about. one is will you really get to the point where it takes over because the crisis comes when global investors lose confidence in principle and interest. that could be the case.
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second thing is if we don't have a crisis we are not failing. is giving a d what we are in for here? we should do better. we should have a tax bill that supports growth, programs that are as parsimonious as possible and support the government. we are not trying to do either. edward: democrat say donald trump wants to extend tax cuts for all americans and that means going into debt to do it because it takes money from the revenue side of that but most americans are surprised they will feel the tax increase should it not be expanded. >> on the politics, it affects everyone under $400,000 and the sitting president promise not to tax anyone. the political promises are running into head wents. it's not a choice between letting it sunset or not. what tax-cut do you need in
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2025, generate revenue and what we are about the spending side. >> reporter: taxes go up on people making less than 400,000. >> if reelected that can't happen. the former president said that can't happen. the key question is what? edward: the pressure we are seeing on the price of oil. and looking at future investments. and is going to come from that? >> reminder that everything broke away in 2023, energy prices were very sedate. we got a big productivity boom, labor coming get, all that made it easier to control inflation.
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oil prices go up as well as down. it is happening now. it's going to be hard when it hits 2%. i see a surge in inflation. people expect us to hover at three. that means the last mile is hard to put on the table. edward: coming up, big 1st quart of beef for general motors after the company scaled-back its electric vehicle plans. more when we return. ♪ (vo) what does it mean to be rich? maybe rich is less about reaching a magic number... and more about discovering magic.
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edward: general motors beat profit expectations by 24% due to the increased sales in north america by the pickup trucks and other high-profile vehicles. let's bring in the heritage foundation executive vice president and former senior vice president of the american fuel at petrochemicals, derek morgan, thanks for joining us. on the earnings call the ceo
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says they see positive profit from ev sales cut the projection of evs sold to 200,000, that's half of what the company originally projected. the boosted earnings came from strength of gas powered trucks and cutting costs on the ev side scaling back. what do you think this shows? >> consumers have a vote in this snow matter what washington dc's or second mental says. it's up to the consumers to make sure it meets their needs and there are drawbacks with evs in terms of cost and convenience. you are seeing customers flocking to suvs and pickup trucks. edward: with government incentives how long can companies continue to do this when voting is going gas powered or hybrid?
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>> they have been doing subsidies for years, the biggest is the fuel economy that make it necessary when you sell one of those pickup trucks you purchase credits from someone who sold and ev, mostly chesler. you see the market, folks in the middle of the country paying more for those vehicles and some money going to the coast to make evs cheaper but customers are saying it doesn't work for me in this circumstance. edward: yesterday on earth day president biden giving out billions in incentives and grants for the switch to ev and announced $7 billion in grants for solar projects. is there anyone watching where the money is going? >> there is. it's going out the window unfortunately. if you look at the green subsidies, it's a problem because you have transportation adding a lot to what we need to get from the grid and a push to
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go to solar and wind which as we know the sun is not always shining, the wind is not always blowing, we don't have the battery capacity to smooth that out. the grid is less reliable and certainly more expensive and all of that culminated when you saw california the week they said they wanted to go to all evs and band the 8 sale of the internal combustion engine, using air-conditioners or charge cars in the afternoon because the sun wasn't at its peak. of the 20 edward: a lot of people were stuck. what happens when government money stops for these comedies? i remember solyndra giving away loan guarantees, what are we talking about? talking billions now. what happens? >> billions in inflation reduction act, and it's all government spending causing everything that costs so much more be it gas, groceries or rent. with other government spending and the fed with its accommodated policies causing
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there to be $2 million chasing too few goods. you see inflation continue unfortunately and i think if republicans and conservatives make progress this fall, donald trump comes in, the inflation reduction act will be looked at carefully to see if there's any decisions there, to try to get spending under control. edward: the debate will continue and the election plays a role in what happens next. goldman sachs holding its annual shareholder meeting wednesday. if you are wondering the reason for the location, charlie gasparino is here to tell us why. charles: it is goldman's third-biggest hub of employees, first it was new york, second is dallas, third is utah, they have a bank, back office operations there and what is interesting about this is after the annual meeting held on
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wednesday, david solomon send personal invites to a reception to all the major players in utah for a dinner that is hosted at the governor's mansion. it's very interesting because one of the people who got the invite is marleau oaks, the treasury. marleau oaks has been on a chair against firms like that and goldman has been cited by gold for governors and elected officials as being too associate for environmental social governance and oaks has been one of the guys pushing back on that. makes for interesting dinner conversations for the annual meeting. goldman sachs, stock has been doing well and david solomon
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turning stuff around, rough patches, people leaving, into retail banking, stock is up pretty good. edward: signaling the pivot. charles: every ceo is trying to pivot from that. if it is not larry fink, not jamie dimon. when jamie dimon took a need during the george boyd protests he said donald trump did a lot of good stuff during his presidency and took a knee in the famous photo that has been circulating, now that they are excused, a lot of people behind him. take that for what it is worth. a lot of these firms embraced
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woke capitalism, go woke go broke comes out in august. hard to put the genie back in the bottle. goldman sachs, there's a pronoun guide, certain pronouns, i suggest you look at it. i don't want to describe it. go to goldman sachs, you can make a determination. neil: can't wait to hear that book. going up on the senate to vote, it could lead to the ban of tiktok, the spec commissioner. ♪
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edward: if you look at the bill it is broad. media company acting at the direction of a foreign adversary it can be banned. you don't need a vivid imagination to see how it could be abused. what if a news outlet is against the war ukraine or the spending bill? your acting at the direction of russia, you can be band.
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it's too broad. what are the concerns? american user data going to china, banned that, tiktok doesn't do that but ever american companies do. edward: that was john mcintyre yesterday talking about why tiktok should not be banned as the senate takes up legislation that could lead to the social media company cut out of us markets. commissioner brendan carr joining me in washington on set. what do you think about not banning the argument for not banning tiktok? >> the concerns are good ones. want to be careful not to allow something like this to be weapon eyes did against other us businesses. that's why the approach the house is taken is so smart. it is very targeted on tiktok. the application is beholden to foreign adversaries, not enough if someone is alleging parroting talking points in a foreign adversary, but demonstrate the same degree
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avenue control as we see with tiktok. >> they are also collecting data on americans? >> one is surveillance and foreign influence. it isn't data, that is gas lighting, they surveilled the location for specific american journalists, promise to do better, and last week in a report came out former data scientist, to deliver us data china. >> they verified it was inaccurate. >> the main point looking at dataflows to china, that is exactly right. until you divest tiktok's ownership by the ccp, any other reform won't get in anywhere,
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they stop dataflows to china but failing doesn't link to the ccp. when you break a link to the ccp, we follow up with broader dataflow restrictions but it starts with the vesting control of the ccp. edward: pushing content that so unrest in the us or hurtful to americans long-term. what kind of transparency should be there for an algorithm of any social media companies? >> as soon as the bill passes it starts at 270 day clock for tiktok to the vest, one that happens, the whole technology company including the algorithm will be subject to multi agency review to make sure whoever owns it isn't able to use the algorithm or any component of it, who looks at the algorithm? the interagency process is usually run from the treasury department. those are experts a deal with
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technology banning similar applications before, they are the ones that look at it to make sure the algorithm isn't still controlled by the ccp, it will be one of the most significant steps of 118th congress has taken. edward: those police officers looking at the algorithm rise in some way, that slant one way or another. >> if it is not controlled by iran or russia, any other business is allowed to take it, foreign influence has given rise to the issues with tiktok. edward: obviously a debate that will continue. let's bring in senator eric schmidt. would you support a ban on tiktok? >> this is about foreign adversary ownership, getting out of the hands of the ccp. committing genocide in their
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own country, making designs for world domination, not entitled to add user data of 100 million americans, where the location is, keystroke activity, access to microphones. stuff you hearing classified briefings are concerning but even the stuff we know about access to the data is concerning. my hope is it passes but ultimately sold and somebody else buys tiktok. we would never allow an adversary to own cbs or nazi germany or imperial japan, and have to appreciate china is the biggest threat. edward: where do you stand on the $90 billion package? >> the president of the united states has done nothing to secure the southern border, 9 million people here. people from missouri send me
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here which injects some common sense to washington. and people are more concerned about sovereignty of ukraine's border, they've got to pivot to china. we don't have the capacity with industrial base to do these things. we need to focus on the homeland, focus on china, european allies need to step up in europe, relying on us to subsidize their socialist government. edward: so you are a no on it? >> that's correct. neil: it could be subject to a 60 vote majority of the filibuster gets there to break it. with the tiktok man, more widespread support among the senate, could be looking at 80 votes. do you think this will go down? can you get 59 incentives instead of 80 senators?
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>> voted against this before in the package that the house has taken up last weekend sending it back with minor changes. the reality is the basis of this package, a lot of things i like about it, this is a blank check for endless war. no one can tell you what the roles are. we heard reports, ask for another hundred billion coming up soon. american taxpayers deserve answers and accountability. with foreign policy, clear direction not in america's interest. adam: edward: you wouldn't supported because you didn't want to switch from tiktok?
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>> i supported israeli aid to because they have a clear objective that is accomplished. they want to wipe out hamas. with the objective in ukraine? to get back to pre-2014 borders? the reality is no one has been able to address these fundamental questions in the 15 months that i've been here. saying you support this or don't support this, it's ridiculous. people who have an america first view of this want to make sure it's in the strategic national interest, we can print all kinds of money in this town but can't print weapons. the reality is to protect the homeland as we face china, the threat we have to define the 20 first century, we don't have the capacity in the industrial base to do these things. our european allies have to step up. they continue to not step up over decades and we see that now.
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edward: people who illegally cross the southern border from new york from other sanctuary cities, wants to help get work permits, and what do you think of the call to bring migrants to kansas city? >> we've seen mayors in these sanctuary cities like new york right uncle now, they are spending millions of dollars for illegal immigrants, now they want help because they can't handle it. this is part and parcel of a terrible border policy that undid all the successful policies we had under donald trump, and 45 year low and illegal immigration, the idea you have a mayor in my state calling for illegal immigrants, they have to bear the burden of that, is ridiculous. edward: thank you for your help on this.
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interesting debate will continue, continuing in the senate later in today. thank you. so, it rubbing and chaos, and i enter 0 protest starting like wildfire, promoting police crackdowns and forcing some schools to go remote, more details after the break.
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edward: anti-is our protests across the country prompting donors to pool support and columbia to resort to hybrid learning for the rest of the semester. ivy league college costs are at records. anyone who borrows from the us government to cover college tuition will face the highest borrowing costs for student loans in 15 years. mitch rochelle is back with us. inflation is coming in higher-than-expected month after month, student loans based on a 10 year treasury which seemed to to soar. is this putting the cost of college out of reach her students because of the cost to
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borrow money? >> that's part of the equation but for decades, institutions of higher learning have gotten the subsidy for availability of credit for student loans without putting any financial burden on the schools themselves. the financial burden falls onto the taxpayers. putting that much stimulus into any economy, the micro economy of higher learning, you get price inflation. that's what we are experiencing in the macro economy. you make analogies between the housing markets before the financial crisis, can't pump that much liquidity into the market and not expect inflation. an extra point in borrowing costs is not like $40,000 in tuition.
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edward: if you have a young child how do you manage the cost of college? what should i be doing right now? >> i have two the graduated from college who were fortunate enough to have that. for younger kids today, the conversation should be about whether or not college is the right career move for you because i think of that we as a society put this high premium on getting a college degree and i don't think it's for everybody. as a result, i know what the hourly rate is for a plumber, an electrician and people who service cars, they have higher hourly rates than accountants and engineers & lawyers and some lawyers. maybe there is a career path other than what society is telling you. edward: i can attest to that. i appreciate it.
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good to see you again. donald trump in court for the sixth day of the hush money trial, eric shawn at the courthouse with the latest from today. eric:donald trump on truth social moments after the gag hearing order ended post on a true social saying this is a kangaroo court claiming he' s not allowed to speak out while others are allowed to attack him. the judge heard the arguments in which prosecutors went to hold donald trump liable for 11 examples of contempt of court for his speaking out on truth social against some of the witnesses but the judge said he is reserving decision on that for now. during that hearing it was quite heated and contentious because the prosecutors detailed trump's postings after the comments in which the prosecutor said he willfully
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violated the judge's gag order calling for trump attacks a real threat. trump's lawyer countered saying the client was responding to attacks on him for michael cohan and stormie daniel saying mister blanche, you're losing credibly with the court. prosecutors cited those examples and included this remark when he made it in the courtroom hallway after court yesterday. >> he was a lawyer and also the things he got in trouble for were things that had nothing to do with me. >> reporter: michael cohen responded to that saying, quote, truth will prevail over donald and his acolytes's incessant lying and denigration of me. the on truth social platform, no one is above the law. testimony resumed with david packer back on the stand. the former publisher of the
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national enquirer started to detail the catch and kill scheme in which the national inquirer was set to get negative information about the former president when he was running for president in 2016 and killed that so it doesn't see the light of day, that is key to the prosecution's case against the former president, the catch and kill scheme involving the former playboy playmate who says she had an affair with donald trump of the national enquirer paid $150,000 to hide that information. he also described in august 2015 meeting in trump tower in which he said mister trump, michael cohen and himself came to this conclusion to have this arrangement. between them the catch and kill agent to help donald trump in his run for the presidency in 2016. prosecutors say as alleged in this.
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edward: president biden is on the campaign trail. missouri's attorney general blasting the kansas city mayor for opening a petition to migrants, here to explain next. ♪ (woman 1 vo) i have inherited the best traditions. (woman 2 vo) i have a great boss... it's me. (man 1 vo) i have people, people i can count on. (man 2 vo) i have time to give (grandma vo) and a million stories to share. (grandpa vo) if that's not rich, i don't know what is. (vo) the key to being rich is knowing what counts. (traffic noises) (♪) the road to opportunity. is often the road overlooked. (♪)
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>> a mayor in my state calling for illegal immigrants to come and missouri taxpayers have did bear the burden is ridiculous. edward: missouri senator eric schmidt. joining me now is missouri attorney general who put kansas city mayor quentin lucas on notice the transporting illegal migrants in the state of missouri is a felony crime. we have an open invitation for the mayor to join us. mr. attorney general, the kansas city mayor made the call to
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welcome migrants across the border illegally to come to kansas city to work and the mayor saying migrants could have a work permit. what's wrong with having people work in those jobs? >> taking jobs from working missouri families, we have statutes on the books that prohibit the knowing get transport of criminal aliens into or through the state, we will enforce the law that's on the books to deter trafficking through the state but also illegal for businesses to hire undocumented workers. senator hawley who is exposing the fact the secretary's parole process is illegally providing parole and work documents to these criminal aliens who crossed illegally, we filed a lawsuit against the biden administration to close the loophole and stop this abuse of the parole system and at the end of the day, protecting missourians and working
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missouri families from the biden invasion. edward: there's a timeline? they are writing letters to withdraw the offer of jobs and taxpayer-funded services. is there a timeline when he would withdraw that? >> let's see if he response to my demand letter and starts receiving illegal aliens. we try to put a stop to it but surrounding communities have resoundingly rejected the the mayor's intend of state statute, into kansas city. under biden, mayorkas's watch than the entire population of missouri. this is an invasion of epic proportions and we never let it come to missouri. edward: are you trying to avoid the issues in chicago, san francisco, trying to avoid that
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seen in kansas city? >> absolutely. that's chaos and illegally. what happened to laken riley. this individual crossed the border illegally, given a parole, thanks to senator hawley for exposing is that during senate hearings, testified in the impeachment proceedings in order to expose how bad it is making communities less safe so we will fight back with all the tools in our arsenal against the federal government and local officials and undermine state statute. edward: appreciate your time. initial we will be watching when we get back. that does it for us on coast-to-coast, the dow 246 points staying up on the upside. "the big money show" coming to take us through the next hour. we will see if that continues. taylor: it's fun to see you in that chair

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