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tv   Mornings With Maria Bartiromo  FOX Business  May 31, 2022 6:00am-9:00am EDT

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larry: thanks for watching, folks. that's kudlow. please have a great weekend. ♪ maria: good tuesday morning, everyone. thanks so much for joining us. i'm maria bartiromo. it is tuesday, may 31st. your top stories right now, you 6:00 a.m. on the east coast. president biden takes on sky-high inflation. the president expected to meet with federal reserve chairman jay powell later today, the first such meeting since powell was renominated for a second term. biden out with a op-ed this morning which claims for the economy to be, quote, in the most robust recovery in history, no mention of the democrats'
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wild spending over the year stoking the high efforts inflation in 40 years and economic contraction in the first quarter. markets are lower going into the meeting and ahead of some economic data, the dow industrials expected to be down 200 points at the start of trading this morning, the nasdaq down 37, the s&p lower by 27, all ahead of some economic data including home price data and manufacturing data out in the 9:00 a.m. hour and at 10:00 a.m. the consumer confidence report is expected to be down for a second month in a row. we'll be getting another snapshot on the economic recovery when we get the may jobs report out this friday. our special coverage, all hands on deck, generals at 8:00 a.m. eastern on any, join us for jobs -- on friday, joins us for jobs in america coming up. all three major indices had the best week since november. the dow industrials up better than 6% last week, nasdaq up almost 7% and s&p 500 higher by 6 and-a-half percent. today the final day of the month, we saw stocks mixed in
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the month of may. the dow and s&p 500 higher for the month but the nasdaq lower by 1 and two thirds percent for the month of may. year-to-date of course nervous markets, markets are down across the board with the nasdaq down 39% in 2022, as you can see, this year markets are down sharply. nasdaq down 22% for the year-to-date and the dow industrials down 8 and-a-half, s&p down 12% 2022. oil prices the big story of the morning. oil prices are surging this morning, brent now at a two-month high after the european union agreed to ban the import of russian oil, although it is making an exception for oil transferred via pipeline. the price of brent right now up 3 and two thirds percent. the price of crude oil up 3 and-a-half percent at 119. here at home, gasoline prices at another all time high this morning, $4.62 a gallon for a
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regular gallon of gas, that 50-cent leap from last month, as you can see, the numbers have been creeping up. european markets are mixed. the consumer price index at 8.1% year over year in the month of may, the highest level in history. ft 100 up 24, cac down 54 and the dax index lower by 110. in asia overnight markets were mostly higher, shanghai officials announcing new economic and tax policies to revitalize an economy that has been shut down since march. shanghai composite up better than 1% overnight, the hang seng in hong kong up 1 and a third percent. in washington, joe biden's approval rating further under water, a new poll shows 47 states including his home state of delaware disapprove of the job he's doing as president. how much further can it go? "mornings with maria" is live right now.
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♪ maria: and your morning mover this morning is tesla, getting back on track, the stock up 1.1% this morning in the premarket, the company's shanghai factory weekly output back to nearly 70% of its pre-lockdown levels. the electric vehicle maker adding a second shift of workers at the shanghai factory last week and expecting to increase production after production almost -- producing almost 11,000 vehicles in april after reopening on april 19th in shanghai. tesla stock this morning up as you can see. president biden is set to meet with federal reserve chairman jay powell today for the first time since the president announced the nomination as head of the federal reserve for a second term, this as federal reserve governor christopher
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waller says the fed should be prepared to raise interest rates by half a percentage point by every meeting until there's a substantial reduction in inflation. jay powell told us we're expecting a half point hike in june and july and september right now is being debated within the fed. joining me is advisor investment american ingenuity strategy portfolio manager, add saddam johnson. also joining -- adam johnson. also joining us this morning is patrice lee onwuka and former white house strategic advisor for communications, mercedes schlapp. a new week, the same selling underway, how do few the markets today. >> i think the reason we were up 6 and-a-half percent last week is because we got clarity from the fed where they said a couple things. number one, the economy is extremely strong, the labor market is extremely tight which means we're not going into recession. that's a sigh of relief for the markets. they said inflation is still
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stubbornly high but it may have peaked. that's a relief for the market. and had they gave us clarity, the fact we're going to get 50 basis points in june, 50 basis points in july and then they're going to take a pause in august, come back in september and possibly give us another 50 basis points in september and october. guess what? at that point i think we're probably done. i know that's a lot of rate hikes for us to swallow. but inflation's an issue. rates were too long for -- or too low for too long and we've got to get back to a baseline and it's that clarity i think that gave markets comfort. this morning we're down because of oil. that's crystal clear. i wish that president biden were meeting with the ceos of exxon and chevron to figure out you how to pump more u.s. oil, instead of jay powell. hopefully he'll get there by tomorrow. maria: oil prices a leading story. stocks are down, oil prices are up 3 and-a-half percent on the news from the european union. do you still want to be in the energy space?
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that's been one of the best performing groups year-to-date as the rest of the market trades down. >> i know. maria, admittedly that's something i'm wrestling with at our firm with the whole team. on one hand you want to be in the winners. some of these names have come so far, whether that's eog pumping oil, you know, whether you look at halliburton which is oilfield services, whether you look even at an energy transfer which is just a pipeline shipper, lng shaneer, the company that exports oil, all of these have run so far. you can say as a portfolio manager, i can stay with some of the winners but what if they figure out how to get more oil of the market, what if mr. putin finds an offramp and the price of oil comes down 10 or 15 bucks you know where the equities will go. you have technology stocks have been clobbered 65, 70%. as a portfolio manager you have
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to stay on the one hand what's working right now in the moment versus the growth you think we can probably have over the next year or two or three which is what i'm trying to focus on and so from anil location point of view, i would rather be in the techses that have gotten clobbered, maria. maria: here we are in the half point mark for the year. we are down 22% on nasdaq year-to-date. are you expecting those tech stocks to actually be up by year-end? i mean, we're at the halfway mark and we lost money in stocks so far. >> i know. and again, as a portfolio manager, it's very hard to come in, you look at the pl and say every day, -- p & l and say my gosh we're down again. i'm in the view we're in the process of bottoming and we've probably seen a bottom and i think the lot of the stocks will be higher but, maria, i'm not going to tell you i think they'll be higher in the next
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three, six or nine months. i'm focused can on the long-term. that american ingenuity story is the people and companies driving the world forward and that's not a six month story. you know, artificial intelligence is not a story that is going to necessarily prove itself by october. robotics by november. et cetera. these are long-term stories that take a long time to pay out. i'm good with buying something in the hole if i think i can double, triple or quad ruple investors' money. maria: do you expect a big move because it's the final day of the month, a lot of window dressing often times when we have the final day. >> we might get that. futures were up. the dow futures were up 100 points until about an hour and-a-half ago when we found out that the eu was going to curtail some of those russian oil flows. so it would make sense that the
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dow would drop just on that headline. we'll get everybody in, have a cup of coffee. it's only 6:09 in the morning. we'll figure out from there. i think we could be up by the end of the day. maria: patrice, jump in here. >> good morning, everybody. you know, adam, curious about consumer sentment. from what i understand the commerce department found personal savings foal a new all -- fell to a new all-time low. people are worried because of recession worries. do you see that changing over the next quarter or the next week, with investors are and how they think consumers view the economy. >> i hear you. we've been dealing with all kinds of emotions in a macro sense and the fact that it costs so darn much. gasoline, i don't need to tell you about that. there's an interesting narrative. i think you just really tapped into it. if you look at the data from last week, it's a good news/bad
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news situation. the savings rate was down probably because we're spending -- we're having to spend more money on all the stuff you're talking about. but the income was up. so spending was up more than income which means we're starting to draw down savings and you kind of hate to see that because consumer balance sheets are so strong right now. but at least the consumer balance sheets are strong. maria: yeah, well they've been spending their savings, that's for sure. adam, it's good to see you. thanks very much. we'll be watching all of that. bull in an environment where we've got a down market, looking for opportunities. thank you, adam johnson. coming up, the crime crisis deepens, americans see a chaotic and violent filled pee memorial day weekend. -- memorial day weekend. ken paxton is here on why border patrol is struggling with a surge of migrants even though title 42 is staying in place for now. biden's inflation blame game
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continues, the president pepping a wall street journal op-ed ahead of his meeting with federal reserve chairman jay powell, taking no responsibility for the administration's role in rising prices and the democrats' spending. don't miss a moment of it. you're watching "mornings with maria" live on fox business. ♪ only at vanguard you're more than just an investor you're an owner. that means that your priorities are ours too. our interactive tools and advice can help you build a future for the ones you love. that's the value of ownership. can help you build a future for the ones you love. that's the value of ownership. living with metastatic breast cancer means being relentless. because every day matters. and having more of them is possible with verzenio.
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maria: welcome back. at least 30 people are dead after -- and dozens of others injured from gun violence over the memorial day weekend. many of the tragedies unfolding in democrat led cities like chicago where 44 people were shot, eight of those fatally. at least 13 people were killed
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in philadelphia, the city surpassing more than 200 homicides before the start of the summer. in florida a 10-year-old boy was arrested after allegedly threatening a mass shooting at his elementary school. the boy texted images of assault rifles from a friend and told him to get ready. this comes days after the shooting in uvalde, texas. mere say degrees schlapp and -- mercedes schlapp and patrice leeonwuka with me this morning. your reaction. >> i think crime will be one of the top issues as we entered into elections. the fact is, what we've seen is between president biden and the democrats, with their strong push of a defund the police movement especially in these cities, that has led into a dramatic increase in crime. let's add to that the fact that there's these mental health
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issues that need to be addressed. i think, maria, it's time for a bipartisan solution on this issue of crime. this is where we need to come together to make sure our police departments are funded, trained accordingly, and then we also have to deal with the mental health issues that are plaguing our community. the drug issues that are plaguing our communities, fueled by fentanyl. there are so many of these what i would say societal concerns and problems that need to be addressed when it comes to what's impacting our cities and the rise in crime. maria: you're right. i don't understand why we can't have armed security guards at schools also, by the way a, patrice. >> yeah. i support the idea of hardening our schools. you have an administration that wants to remove second amendment rights and president biden even talking about banning handguns. it's ridiculous. and so what are people who are in vulnerable communities supposed to do when they're
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getting sprayed by bullets, when they're being robbed. i think what's interesting, i think there are a couple of rays of sunshine i do see. i'm glad that the two young boys, the 18-year-old and 10-year-old who were turned into police, someone spoke up, based on what they were putting out there on social media. we need to see more of that and to add to mercedes' list, we need to figure out how to deal with the absence of fathers, the absence of role of menace men s leaders for our young men today. we can talk about guns and policy solutions but that will take communities, society, the strengthening of the family to get back at some of these really deep root issues that are plaguing our young men and until we do, a lot of these are just band-aid solutions. maria: yeah. all right. we'll take a break. when we come back, president biden is blaming everything and everybody but his own party for
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the sky high inflation at a home. no mention of the out-of-control spending. congressman matt rosendale weighing in on inflation as the president tries to tackle it today. the worker shortage throws a big wrench in many people's summer plans. we'll explain it in today's hot topic buzz. stay with us. we'll be right back. your record label is taking off. but so is your sound engineer. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire
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maria: welcome back. president biden out with a wall street journal op-ed today, detailing his supposed plan to tackle inflation. he writes, quote, inflation is elevated, exacerbated by vladimir putin's war in ukraine, energy markets are in turmoil, supply chains that haven't fully healed are causing shortages and price hikes. this as fuel prices keep breaking records with the price of gasoline now hitting $4.62 a gallon. we are entering the peak season so we'll likely see prices continue higher. joining me right now is montana congressman a matt rosendale, a member of the veterans affairs committee. thank you for being here. what do you make of joe biden's op-ed today, talking about others causing inflation to move higher, no mention of the democrats' massive spending all year, beginning with the
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$1.9 trillion covid relief package back in march which began stoking inflation. >> the democrats spent an additional $3 trillion last year, maria, on top of everything that they already put into the budget and it's -- that's is what is exacerbating the situation with inflation. i like the way he snuck in there the line to try to temper everyone's expectations about job growth next year. be prepared for 150,000 jobs a month, 500,000 jobs per month is unrealistic. now that we're in this time of low unemployment. everything that he's put in there is, again, just trying to blame putin for the problems that this administration has caused themselves, whether we're talking about energy production, whether we're talking about inflation. this is all the direct result of bad policies by the biden administration. maria: and part of that policy was all of that spending. when the president walked into office inflation was at 1.4%. in march, he signed into law the
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covid relief package and inflation was at 2.6%. july, inflation was at 5 and-a-half percent as the democrats were pushing that $5 trillion spending package and they're still trying to push through build back better, right? i mean, then in november he signed in another 1 trillion-dollar spending in the infrastructure package. inflation shoots up to 6.8%. and now we're all the way at 8.3% post the war on ukraine. do you think this administration is going to continue trying to push through spending through the summer months? >> i do, maria. that's a really big problem. as you said, we're up over 8% on inflation. i think if you calculated in the increased cost of energy, it's much higher than that. everyone i'm talking to, my farmers, my ranchers, all of their inputs, fertilizer, fuel costs, they're going up by 200 and 300%. so i don't see how in the world inflation can be held at this 8,
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9% level. it's going to continue to get worse because no aca shun has been taken -- action has been taken by this administration to start making a change. so i'm afraid the wave hasn't even hit the beach yet. maria: i tell you, you make a good point. a poll from vice president pence's nonprofit finds that inflation and gasoline are the top issues that voters are concerned about in the swing districts ahead of the midterm elections and when you look at the overall price of things that we pay for, the average is 8.3%. you're right. when you look at things like eggs, that's up 13% year over year, fresh fish up 16% year over year. the price of an airline ticket up 33% year over year. so you're right, that's just an average. will these issues be part of the democrats' agenda this summer and what do you think this means for the midterm elections? >> i think that you talk about the wave hitting the beach of
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inflation, i think the wave will be a red wave that will roll across the country. you're going to see the house of representatives, the republicans will take the majority back in a large, large fashion. we'll probably sit at 270 seats, i truly believe that. i believe now that the senate is in play and a this is going to give us the opportunity to start putting some policies forward and then it's going to be up to the president on whether he wants to continue to veto good policieses put forward by the republicans. maria: yeah. i mean, one of the key mistakes it appears was canceling all energy independence out of america. i mean, on day one he canceled the keystone pipeline and then canceled federal drilling on federal land and, you know, that was one of the triggers for oil prices to move higher and that's the underlying point of our inflation problem. mercedes schlapp, jump in here. >> it really is. .maria: what do you think about
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the democrats and the midterm. >> sorry. >> i wanted to, congressman, just quickly ask especially when you've seen president biden not only blame putin for the gas prescribing hikes but then also demonize the oil industry. where do you think the republicans can stand strong against biden when it comes to this issue of pushing forward an energy independent agenda and squashing the green new deal and the obsession of the democrats with climate change? >> so all we have to do is look at the facts. i also serve on the house natural resources committee. we proposed a package of eight pieces of legislation to open up the energy resources again in our nation. right now our energy production is down by about 2 million barrels a day and this administration has pulled the largest amount of oil out of our strategic petroleum reserves of any administration whatsoever but that's only a million barrels a day so we're still
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down by a million barrels a day and, again, we have proposed eight pieces of legislation to open up things again, to make sure permits are issues once leasing gets opened up, to open up permits on some of the pipelines so we can actually deliver those products to where they need to go to, to repermit the keystone xl pipeline. all of these things will get us back in a position where the production is up dramatically and as you guys know, this is a global price. so the supply/demand factors really do kick in. if we can get our production up, the global consumption is going to be about the same. we're going to start driving that price down. maria: all right. we'll leave it there. congressman, it's good to see you this morning, thanks very much. congressman matt rosendale joining us this morning. >> thank you for having he me on. maria: quick break and the eu agrees to a partial ban of rush russian oil, sending oil prices
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maria: welcome back. well, the first hurricane of the season making landfall. cheryl casone with the details. cheryl, good morning to you. cheryl: good morning, maria. that is right. hurricane agatha delivering devastating flooding and winds over 70 miles per hour that came ashore in mexico. the national hurricane center saying conditions are still extremely dangerous warning that almost two feet of rain could fall in some areas. the mexican government opened over 200 shelters in advance of the storm system. noaa predicting an above average hurricane season this year, predicting between 14 and 21 named storms. well, activist investor nelson pell bees is joining the board of unilever, announcing his fund
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owns a large stake in the company. he previously served on the board of procter & gamble and kraft hines. taking a look at unilever, the stock is up almost 5 and-a-half percent. that goes against the trend that we're seeing in the general markets this morning. finally, this. johnny depp making a surprise appearance at a uk rock concert over the weekend after closing arguments for his defamation trial against ex-wife am a amberheard. he played guitar with jeff beck sunday night. depp at one point played along side aerosmith with the group hollywood vampires. i guesses not so stressed out about the pending decision in court, maria. maria: looks that way. thank you so much. president biden drawing a line on the military aid he says the u.s. should send to ukraine.
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watch this. >> are you going to send long range rocket systems to ukraine? >> we're not going to send to ukraine rocket systems that can strike into russia. maria: there were concerns that sending the rocket systems would be seen as an escalatory move by russia. joining me now is senior strategic analyst general jack keane. great to see you this morning. thanks so much for being here. is that the right call? >> no, i don't think so. it's surprising, because the biden administration moved away from limited support to ukraine which was the policy at the outset to full throttle support, all-in, with the objective to help ukraine defeat the russian army inside of ukraine. and this certainly is a step in that direction. what has happened in the war is it's become an artillery war and the russians have more of the
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artillery and their artillery out-ranges the ukrainian's artillery to include what other nationses have been providing them. they've been asking for multiple launch rocket systems because of the range they have, they can reach the russian artillery and it has a devastating impact on it. and to use the reason that, well, we don't want to use those weapons against russian terry, well, they can use the artillery we've given them against russian territory. the multiple rocket systems has a much longer range. to me, it seems like a lame excuse for it. we're either in or we're not in here and the administration a said we're all in to help defeat the russian army. and this is a weapon system that is much needed and given the advantage that the russians have
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in artillery, this is actually part of a crisis situation that the ukrainians are now facing. it's very disappointing to see the administration not step up here. maria: well, that sounds exactly right. you know, general, it seems to me that it's just so strange to hear the president say, oh, no, we don't want to do that because that's an escalatory move. putin has been creating escalatory moves from day one here. he's taunting the world with nuclear exchanges, taunting the world with chemical weapons potentially and we're talking about not upsetting them and escalatory moves here. look at all the death and destruction, just the fact that he's been taunting the world with nuclear ambitions should be enough to say all bets are off. what are the rules we're following? >> yeah, well certainly russians have been brandishing the use of particularly nuclear weapons
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right from the outset, certainly wanting to get inside of our head and he prevent us from really supporting ukraine the way we should. i thought we actually had moved past the fear of russian escalation. i mean, let's face it. if russia escalates, then they'll be at war with the united states and also with nato and that's something they don't want. they can't handle the war against ukraine, much less handle an increased war with the united states and may he toe. the threat -- nato. the threat, while you always take it seriously, you have to analyze it and evidenceal wait it and see it for what it really is. it's more about embellishment and brandishment than it is about a realistic threat here but not providing the ukraines this weapon system which particularly now would help them so much is very frustrating. maria: very much so. as we watch death and destruction on ukraine, despite the massive occurring from the
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ukrainian people. i want to get your take on the european union's plans. they say that they plan to impose a russian oil embargo. however, it includes an exemption for any oil delivered by russian pipelines which makes up to one-third of u.s. oil purchases from moscow. i mean, what the hell had. russia is pledging to find other importers for its crude, general. if the crude is coming through pipelines, that's okay, even though it's coming from russia. >> well, overall, i mean, overall it's still a surprisingly good thing by the eu in my judgment because they're stopping the import of 90% of russian oil into europe. the 10% is an exclusion for hungary, the czech republic and slovakia because of their complete dependence on it but to think that the eu would be in this position and be banning oil three months ago was just not even on the table for
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discussion. so the fact that they've moved in this direction i think is very positive, given where they have been in the past and this would likely not have happened except for russia's barbarism, the atrocities and war crimes they've committed which has really fueled the increase in sanctions by the europeans on the russians and also obviously now stopping a significant portion of oil coming out of russia. it will take the better part of a year to get all of this done but i think it's a real step in the right direction and a good one for the eu, given where they were. maria: well, finally, okay. the war started in february. russia started bombing ukraine and a here we are, tomorrow is june. but i move on. let's talk about china for a moment, general. the chinese defense minister expected to meet with u.s. defense secretary lloyd austin during a conference in singapore next month. chinese and u.s. officials reportedly working to finalize
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what would be the first face-to-face meeting between the two defense officials. beijing and washington facing ongoing tensions over taiwan, general, and of course all of the bad behavior of the ccp including the theft of intellectual property, human rights abuses. was do you think happens at this meeting between lloyd austin and his counterpart in china? >> well, first of all, it's good to have the meeting. i mean, obviously we're adversaries, we really are being challenged by china's aggression here. i mean, president xi is the most maligned, aggressive leader that the chinese have had since mau. he increased his suppression at home and increased aggression abroad. we're very concerned about the stated public comments about that if taiwan doesn't peacefully become a part of mainland china, in other words, they volunteer, that's not going to happen, then he will
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forcefully make it happen while he's the leader of china, something we have to take seriously and i think we'll have frank discussions with them about their you aggression in the region and how they're undermining our allies and partners in the region. i've got to give the biden administration some credit here because they have strengthened the alineses that -- alliances that president trump began to form with the quad, this is india, the united states, australia, and japan. and also increasing the strength of other alliances in the area. the one thing they still need to do is increase our military capability in the region. the chinese are out-gunning us and out-manning us, we've said it many times here, maria and we have to commit to the increased capability to have a military he deterrent and the defense budget was built on a 4% inflation factor and we're now facing 8% so actually we're going to have a decline in the defense budgets
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and it's yet to be fixed. that has got to get done in the next several weeks. maria: well, everybody -- i mean, obviously we're all watching this inflation rate eat into everything but when you look at it eat into defense, that's a major problem and you've said it many times, we're out-gunned. the defense budget remains a major sticking point and we've yet to see any real moves to change it. by the way, the administration right now as we speak is debating whether or not to remove tariffs on china. so i'll reserve judgment in terms of how tough this administration really is on the ccp as we await the general congress in china where, you're right, xi jinping will be modeled like mau, dictator for life, when that congress happens in the summertime. general, it's good to see you. always a pleasure. thanks very much for your insights as always, sir. >> great talking to you, maria.
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thank you. maria: general jack keane joining us. quick break and soaring prices for everything from food to gas causing many americans to take a good, hard look at their personal budgets. how you can offset the impact of inflation, we've got tips for you when we come right back. you're watching "mornings with maria" live on fox business. u'rn stitchwork master. but your staffing plan needs to go up a size. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire big game today! everybody ready? alexa, ask buick to start my enclave. starting your buick enclave. i just love our new alexa.
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maria: welcome back. president biden is set to t meet with federal reserve chairman jay powell later today to discuss inflation in the united states and the possibility of a recession. it comes after april's core personal consumption expenditures rose 4.9% year over year. that report out last week. joining me right now is financial expert, national best selling author and host of the rachel cruz show, rachel cruz. great to see you. thanks very much for being here. ramsey solutions first quarter stated personal finance report showed that 80% of americans said inflation is impacting their daily lives and their day-to-day financeses. what's your advice and your plan to help consumers avoid some of this inflationary issue that we see every day? >> yeah, well, the inflation rate obviously is affecting so many people and so more than ever, you have to remember that fear cannot be your financial
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add a vicar. when we hear words like inflation and recession and all of this, fear can rise up and you can make really bad decisions when fear takes over. so you want to focus on facts and foye cuss on the things you -- focus on the things you can control which leads you into doing a budget. number two. this is so, so key for people. if you are not being intentional with where your paycheck's going, then you're going to spend money that you don't intend to spend and right now holding every dollar accountable to what your life needs is really crucial. maria: what does that mean, in terms of holding every dollar accountable? how do i do that? >> so you look into next month and say okay, what am i going to make next month and you're going to put that income at the top of sheet of paper, a budgeting app, then you look at your expenses and you'll be intentional, say okay, housing is first, food is second, utilities is third, transportation is fourth, really looking at your needs versus your wants. putting dollar amounts next to
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all the categories you spend money on. and the goal is that income minus all of those expenses equals zero. so every dollar has an assignment, every dollar is being intentionally spent. maria: you know, we're going to talk with nancy lazar in a few minutes and of course she is one of the leading economists out there and she is with piper jaffray and i just wanted -- i'm sorry, piper sandler, piper sandler's chief economist nancy lazar from cornerstone macro and she's talking about confidence getting crushed and that the savings rate has plunged, rachel. in other words, consumers right now are taking money from their savings accounts and they're using it for their daily needs. what do you make of that? i mean, one of the positive things going into this inflationary period was the fact that we had all this money in savings because of this last year and the last two years of covid, people were socking money away. it's coming down. >> no, it is and credit card
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spending is going up and so money flows two ways, it flows in and it flows out. if you are taking money from your savings, number one, thankfully you have it but you want to replace that as soon as possible as well and so looking at the money flowing in is what's key and so while grocery prices and gas prices, everything in our daily expenses have gone up, that means getting that income up, so whether that's getting a raise at your current job or taking on a job or two after hours and i know that this is not ideal for people but in this moment you may have to get your income up just to be able to say, hey, i have my expenses covered and i'm not having to live off of my savings. maria: yeah. so the savings rate now is at 4.4% in the month of april. that is the lowest level since 2008. so clearly we are using money that we socked away to pay for things that we need in our everyday lives, that's too bad.
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rachel, it's good to talk to you. thanks for the budgeting tips. rachel cruz joining us this morning. coming up, summer bummer, why so many sectors are planning cutbacks so demand to get back out there is skyrocketing, we're wondering if recession is possible, are the layoffs next. we're on it in the hot topic buzz. stay with us. ♪ don't go chasing waterfalls. ♪ please stick to the rivers and the lakes that you're used to. ♪ i know that you're going to have it your way or nothing at all. ♪ but i think you're moving too fast. ♪ meet jessica moore. jessica was born to care. she always had your back... like the time she spotted the neighbor kid, an approaching car, a puddle, and knew there was going to be a situation. ♪
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maria: welcome back. time for the hot topic buzz. the labor shortage and rising prices are forcing many pools, restaurants and summer camps to cut their hours of operation this summer. employers say they are having hard time finding workers despite pay raises and in some cases a thousand dollar incentives. u.s. airlines canceling thousands of flights over the four-day memorial day holiday weekend. earlier this month delta announced service reductions from july 1st to august 7th, so
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a normal summer. >> you know, i think it's interesting how do you get all of the millions of people who are still sidelined back into the labor force. i think employers may need to start thinking about their requirements. are there requiring too much of workers, are they looking at workers who traditionally are left out of the workforce. maybe it's time to assays where they're at. i worry a hiring slowdown in the horizon. when you look at the tech industry, a loft tech companies are doing hiring freezes because their earnings have not been great this year. it wouldn't surprise me if we see hiring freezes triple out to other industries. maria: well, the economy is getting tougher mercedes and you know with that comes layoffs so we are watching for layoffs to start beginning and you're right, patrice, it's the tech
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sector that has started, mercedes, your thoughts? >> yeah, i think what we are also seeing unemployment rate decrease in about 17 states. there's the sign that people are going to work. the reality is, though, is that it's for that employee's benefit to find the best job they can with the best increase so the companies are being forced how can they incentivize workers to come their way but we know that, for example, small businesses are struggling to even find financing, we just saw the treasury department distribute about $200 million of this federal aid from the pandemic and in essence i think you're finding small businesses are also being impacted by what we are seeing in terms of the labor shortage. maria: for sure. patrice, mercedes, next hour of mornings with maria begins right now. and good tuesday morning, everybody.
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thanks very much for joining us this morning. hope you had a good memorial day weekend. it is tuesday may 31st, final day of the month. your stop stories right now 7:0. president biden takes on sky high inflation today, the president is expected to meet with federal reserve jay powell later today the first such meeting since powell was renominated for a second term. biden is also out with wall street journal op-ed which claims that the economy is in the most robust recovery in history. no mention of all of the spending from democrats over the last year which, of course, has stoked the highest inflation in 40 years and an economic contraction in the first quarter also not mentioned in today's op-ed. stocks this morning are off of the lows of the morning but still down as we start a new trading week ahead of the powell meeting today. dow industrials down 129, s&p down 15 and the nasdaq down 2 and a half. also ahead of home price and
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manufacturing data which is coming out in the 9:00 a.m. hour also at 10:00 a.m. we will get the consumer confidence report. that's expected to show consumer confidence down for a second month in a row. we will be getting another snapshot on the economy in may report this up comes friday. all hands on deck. join us for a special coverage this friday beginning at 8:00 a.m. eastern for the job's report from the labor department. all three major indices coming off best week since november 6th, last week was a good one. dow industrials up 6 and a quarter percent. nasdaq up almost 7% and s&p 500 higher by 6 and a half percent on the week last week. of course, today is the final day of the month which saw stocks mixed in the month of may. the dow and the s&p were hiring on the month -- on the week but the nasdaq was down 1 and two-thirds percent in the month of may. year to date markets are still nervous as you know down across
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the board, nasdaq down 22% so far in 2022. that's the hardest hit. you've also got the russell 2000 down about 15%, s&p down and big story in the morning oil surging once again. brent is now at 2-month high after the european union agreed to ban the import of russian oil. although it is making an exception for oil transferred via pipeline. if it's in the pipeline it's okay it's trying to salvage what it can for over countries within the european union that are reliant on russian oil. as you can see brent at 123.83 this morning. almost up 4%. crude oil at 155 better than 3%. and gasoline prices at all-time, 4.62 a gallon for a regular gallon of gas. that is a 50 cent leap from last month. nationwide average gasoline prices continue to spike. european markets this morning
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are mixed in terms of stocks. the euro zone consumer price index was out this morning, hitting 8.1% year over year in the month of may, highest level in history. cac quarante down 87 and shanghai officials announced new economic and tax policies to revitalize an economy that has been shut down since march. shanghai composite up better than 1%, hang seng in hong kong better than one and a third percent. back in washington, joe biden's approval rating continues to zipping, further under water. 47 states including his own hem state of de d disapprove of the job he's doing as president. how much lower can it go? mornings with maria is live right now. time for word on wall street. joining me garthman letter denise garthman, payne capital management president, ryan payne
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and morgan stanley senior vice president of investments kim lacamp. gentlemen, great to see you all. denise, kicking things off with you, ahead of this meeting president biden is having with jay powell today this as the president is out with new op-ed, plan for fighting inflation, in january 2021 the recovery had stalled and covid out of control. in less than a year and a half my administration vaccination plans help achieve the most robust recovery in modern history. certainly doesn't feel like the most robust recovery in modern history given the fact that we saw a contraction in the first quarter, the economy is actually shrinking, president biden is making this claim with no mention whatsoever of democrat spending over the last year which, of course, is a large part of the inflation story now that we are at 40-year high inflation after all of that spending, denise, your thoughts on this op-ed and what the president can do with jay powell today?
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>> first of all, the letter given the fact that mr. powell and mr. biden are meeting this afternoon, it was -- the president was being pleasant to the fed and throwing a nice in the fed's way. they are trying to set up the meeting to be -- i think what we have here is a problem. the president is arguing that the economy is doing extremely well after the demise we had in the economy the problems that were coming with covid and how seriously the economy fell in 2021 and rebounding. you go back as quickly as we did a year and a half, we will bounce back as violently like we did in the month and a half, 2 months or 3 months or so. gdp was down in first quarter and i think we will be in recession by the third quarter. i think the president's rhetorical today was ill-advised
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and soft to federal reserve bank. the president has appointed two or three new governors to the fed all of whom are going to be expansionary. inflation can s a problem that is seriously incumbent in the economy and it's going to be with us for quite some period of time in the future. until the fed gets a relatively large decline in balance sheet which it said it's going to do and i have my doubts as to whether that's going to happen or not, until we have material decline in balance sheet, inflation will be with us for another 2 or 3 years. i think the op-ed today was just a prelude to a meeting this afternoon that will be pleasant with all involved and very little to come out of it. maria: so, so, i mean, do you think a recession in the third quarter is priced into the market, denise or is that a surprise for investors because i'm wonder if the -- >> i don't think it's a surprise. i think it's priced in. the fact that we have had the s&p which was down 17, 18, 19%
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and the nasdaq was down 22% even after last week's strong rally. i think some of the expectation of recession has been modestly priced in. but we will see over time whether it continues to be priced in. as i said last week, given stock prices we are going to have a balance because the s&p had decline dramatically as it had and the index has gotten to six, which is as law as early part of the pandemic. we will get a bounce and bounce to be sold to weaknesses and strength to be sold into. maria: all right, ryan, goldman sachs says that the 40-year record inflation is peaking could be a positive for stocks, they say it's peaking as the dow and s&p 500 turn positive for the month of may but still showing significant declines year to date. we are waiting for me economic data this morning. we have the consumer confidence report at 10:00 a.m. your thoughts on whether
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inflation is actually peaking? >> yeah, i think it is. i've been saying week after week, so maybe goldman is watching on wall street, you never know. since 1951, this is a stat that they used. 13 times we had inflation run. when inflation peaked over the next 12 months, s&p was up, as high as 30%. i think that's probably realistic here too. we talked about this and we have seen it in the numbers, right, the fed's proffered measure, pce index, slowing clip on friday which was very bullish so i think that's very possible here that inflation has peaked. i think it has. i think it's going to start to come down this year and i think the market has already done the heavy lifting for fed. we saw a huge market correction like denise mentioned. we were at high as 3.2% in ten-year treasury which started to come down a little bit. mortgage rates are up. dollar is strong here.
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the price readjustment is happening. that's 30% cheaper in the beginning of the year. and one other thing i will mention, they also like european stocks in the goldman report. i happened to be in the south of france right now because my life is hard, only joking and i have to tell you, the amount of activity down here, people out in the nece, middle-class place for europeans to travel right now is insane. even the global economy right now, i have been the death of the global economy is exaggerated here. all the recession talk i think is probably overbroad at this point and bottom line i think it's much stronger, we are not going to recession, it's the bottom line. maria: oftentimes you see it move up in the final day of the month, end of the quarter. happy to see you in the south of france, ryan. oil prices are jumping, jim,
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european leaders banning to plan most russian import by the end of the year except the import that is via pipeline but the ban of russian crude brought in by sea. that's different. your thoughts on where we are in terms of this market. >> so just to be clear, pipelines are okay or are they just okay over there but they are not okay over here. maria: yeah, right. >> the federal reserve board is meeting with the president to talk about inflation. that's like the foxes all gathering to redesign the hen houses. we've had 40 per increase in the money supply. i think the issue, maria, for the market is not going to be whether inflation has peaked or not. it probably has. the question is, is it going to come down? i mean, look at what is going on with energy prices and our policy has put us in a position where energy prices aren't going
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to come down any time soon because we don't have the normal supply response that we would normally have and we really haven't had much of a demand response either and we haven't had a big curtailing of a demand because china is reopening, et cetera, and as ryan said, things are going a little better in europe. i depth see oil prices coming down dramatically any time soon. without oil prices not coming down, we will not see inflation numbers come down either. yes, we are 16 and a half times forward earnings but are being revised downward but we don't know what the numerator and denominator is going to look like on the price ratios. secondly, the way we've had margins really being squeezed by the companies, so i don't know where we are going to be with margins. in terms of are we going into a recession, i think it's entirely possible that probably not until
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the first quarter of next year. the one thing that hasn't been mentioned yet is that consumer savings have disappeared. consumer credit has skyrocketed. we've gone from 30% consumer savings all the way down to about 4% consumer savings and real consumer spending only comes from savings and one of the reasons that savings have dropped so much is higher inflation, higher energy prices. i still think it's a market that's going to bounce around quite a bit, very likely that was quite a bit of short covering in the rally that we've had here in the last handful of days. i think investors need to be careful about assuming this is a new leg of a bull market. historically summers are volatile anyway. so i think caution is still warranted and rallies should be met with some selling. maria: jim, real quick, on the final day of the month, final day of the quarter, we see
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window dressing, market up on the final day because it's the final day of the month? >> yes, maria. i think that's possible. i have been though i sound somewhat cautious and pessimistic about the market, we are still more oversold. maria: sharp decline for sure. we have to jump. jim, thanks very much. >> thank you. >> jim lacamp, denise garthman, ryan payne, good to see you, we will be right back. >> thanks, maria. (all): all hail, caesar! pssst julius! you should really check in with your team on ringcentral. oh hi caesar. we were just talking about you. yeah, you should probably get out of here. ♪ ringcentral ♪
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maria: well, the american people have making it clear they've had enough of president biden's failed policies even his own state of delaware and dark blue california, approval slipping to 34%, patrice, mercedes, i want to get your take on the polls. it seems every week there's a
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worst poll than the one before. 47 states disapprover of joe biden's handling oh testify economy and his handling as president. patrice. >> you know, it's so interesting, maria, it's not surprising. people are feeling the pain at the pump, at the grocery store. not the mention all the crises that he's had the face and frankly are due to his policies. i'm actually looking at the independent number, 22% of independents say they approve -- they approve of the job he's doing. that tells me that democrats are going to be in some trouble this november because in some swing states those independent voters are the ones that are going to be needed him to carry across the threshold, to carry his party across the threshold and keeps them their seats. maria: mercedes, i think the independents' point is an important one because you're seeing independents who have voted both ways running from
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this administration and the democrats. >> maria, remember the day when the democrats were the party of the working class and that's no longer. i mean, you saw president trump, he was able to create a shift where working americans started to support president trump. you've also seen minorities moving away from biden. so hispanics, african-americans because they look at this extreme agenda coming from the left where the economy, it's been a very slow response coming from joe biden and you have seen the democrats especially at local levels focusing on critical race theory and the gender confusion agenda and that has really hurt the democrats so at the end of the day the americans are going to be voting with their pocketbooks, they are also looking at issues like crime and immigration both issues that are out of control and chaotic and something that president biden hasn't been able to lead on. so that in and of itself i think
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will definitely devastate the democrats come the midterm elections with a big red wave win. maria: yeah, and another problem which people are voting against is this wide-open border. there has been no slowdown of migrants coming into this country. i want to take a short break and come back and look at that with texas attorney general ken paxton. he will weigh in on the migrant surge as a massive amount of fentanyl was seized over the holiday weekend. wait till you see this. then millennials admit to blocking trusted group of people on facebook over difference of political opinion. hot topic buzz coming up. ♪ ♪ ♪
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so many people are overweight now and asking themselves, "why can't i lose weight?" for most, the reason is insulin resistance, and they don't even know they have it. conventional starvation diets don't address insulin resistance.
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that's why they don't work. now, there's golo. golo helps with insulin resistance, getting rid of sugar cravings, helps control stress and emotional eating, and losing weight. go to golo.com and see how golo can change your life. that's g-o-l-o.com. maria: welcome back, well, the wide-open border continues and this crisis is not easing up. more than 1,000 illegal migrants crossed over the rio grande into the united states over the holiday weekend. agents say that they nabbed multiple known sex offenders. the head of border patrol raúl ortiz praising his agents for their work which include seizing 131 pounds of fentanyl and 22 water rescues, joining me right now is the attorney general of texas, ag ken paxton is here. ag paxton, good to see you,
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thanks very much for being here. can you assess what we are seeing. the administration want today lift title 42. a federal judge said you cannot lift title 42 right now. border agents have told us they're expecting the number of encounters to go from 7,000 a day to 18,000 a day when title 42 goes away. what are you seeing down there in texas right now? >> yeah, it's just getting worse. the biden administration clearly doesn't want to stop illegal immigration. they are encouraging it. they've done it since day one. we had to fight them in every step trying to slow this down and they have done nothing to help us. they continue to invite the cartels to bring as many people as possible to the border. the border patrol take the hand offer and transport around the country in the middle of the night. that is a fact. maria: well, this is just incredible. transferring these people in the middle of the night has congresswoman alice stefanik vowing to subpoena for information on the secret
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migrant flights should the gop take back the majority in the house. ag what are we going to find if stefanik subpoenas all of the flights? >> i think they transported almost from the beginning of the administration, that they have transported literally hundreds of thousands of people around the country in buses, on planes, they've done it at weird times, they tried to keep it as nontransparent as possible. they do not want the public to know what's going on and we need to have the light of day shown on what they have done in the year and a half. i think the american people are going to be surprised and shocked and they are not going the like the story that they find. maria: wow, do you think they will vote on this come november, ken paxton, congratulations to you on your primary victory a week or so ago. what are you expecting in november? is this going to be a key point for voters? >> yeah, i mean, how could it
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not. i think you're going to see that and some of the other issues that you were talking about earlier today. inflation, energy prices. there's really nothing that they have to point to that's gone well over in the last year and a half. if anything, it's some of the worst times we have seen a president preside over in at least my time. i think the american people have noticed and the polling shows it and i think the american people will show up and make a change. maria: which is why you, of course, have sued this administration multiple times. i'm with mercedes schlapp this morning, mercedes, jump in here? >> yes, good morning, attorney general and congratulations on your win. i think one of the things that you did just recently is sue the biden administration on the asylum plan talking about maria's -- mentioning the different lawsuits because you're looking to basically reduce the average wait time from 5 years to 6 months. as we know a lot of the individuals who are coming into this country, we lose track of them here. what do you think will be the result of that, are you
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optimistic? >> you know, i am optimistic. we have won all the way to the u.s. supreme court and we won on preliminary injunctions and we won on merits, we argued the case a little more than a month or so and i'm assuming it's coming in june, i think honestly the law is so clear. they shall detain the people until hearing or send them back to country of orgi. there's not a lot of wiggle room. i'm hoping the supreme court does not find wiggle room. we have to force the biden administration to enforce even with the court order but it means that we can go back to trump-era policies and law that is were working. maria: well, we will see about that, ag. it's really had an incredible affect on the state and certainly the border towns already. >> there's that doubt. i wished the president cared about this issue as he says he
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doesment he should go talk to people from border towns from both parties. i think he'll find the same answer from all of them. you need to stop this. it's causing increase crime. we can't handle the -- the burden on our cities, help us and that's a message that he's been unwilling to even hear. maria: all right, we will leave it there. ag paxton, good to see you this morning. ken paxton joining us this morning from texas. we will see you soon. thank you, ag. quick break and then president biden is meeting with federal reserve chairman jay powell today. they'll be talking about the economy and the sky-high prices across the country. north dakota senator kevin cramer is here. he will talk about his meeting and what he's expecting from the president. and then the world's most famous smile gets smeared with cake. the strange circumstances surrounding why this guy tried to destroy the monalisa.
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maria: welcome back, hundreds gathering to pay their respects to some of the youngest victims to have texas elementary school shooting. cheryl casone with the details this morning, cheryl. cheryl: today marks one week since the gunman claimed the lives of 19 students and two teachers. hundreds of mourners stood in line to pay respects at funeral services for 10-year-old amarie joe garza and matai rodriguez. services will be ongoing in the coming days. today many texas media outlets are going to go dark for 21 minutes to honor each of the 21 victims. well, we could be hours away
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from the verdict in the trial of michael sussmann. the jury is set to resume deliberations today after the former clinton campaign lawyer opted not to testify in his own defense last week. in closing arguments durham's team showed jurors and invoices where sussmann billed the clinton campaign on the same day he met with the fbi. sussmann's attorneys argue that the fbi meeting was separate from his campaign work. well, staying with politics, house speaker nancy pelosi's husband arrested this weekend charged with drunk driving. paul pelosi booked for alleged dui, pulled over before midnight saturday. pelosi's office saying they will not be commenting on manner and saying in a statement, quote, prior driving offense attributed is untrue, likely unrelated person with same name. the error must be corrected. and then there was this a wild
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scene at paris' same museum this weekend. a man disguised as an old lady in a wheelchair threw piece of cake at the glass. the man shouting in french to, quote, think about the earth. maybe he should think about the fact that that's bullet proof glass over the monalisa, maria. maria: wow. no words for that one, cheryl, thank you. oh, boy. president biden is meeting with the federal reserve jay powell today at the white house. ahead of the meeting biden released op-ed in the wall street journal. it outlines what he's calling the plan to fight inflation. the president shifting the blame. inflation elevated, exacerbated by vladimir putin's war in ukraine and supply chains that
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haven't healed are causing shortages and price hikes. joining me right now north dakota senator, senate armed services committee kevin cramer. senator, good to see you, thank you very much for being here. you saw the op-ed and i know that you are also meeting with jay powell this afternoon. what are you planning to talk about, is your meeting after the president or before, how does that work? >> senator: i'm not really sure when it is, maria. this is a meeting that chairman powell lined up with me, called and asked to visit. of course, i'm home in north dakota over the memorial day weekend so i intend to visit with him a little bit about the plans for raising rates and shrinking the balance sheet a little bit and chairman powell has always been forthcoming with me about that and i'm just interested. obviously he and i disagreed over much of last year because i felt like the fed should have started this process much sooner and had a much more gradual, you know, sort of a path to -- to
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shrinking but anyway, they are doing what they need to do now. i'm afraid the pain will have to be a little greater. maria: i mean, what can they do at this point, senator? the president is out with an op-ed saying he's got a plan and saying that we are in the most robust recovery in history. i don't know how you come up with those words given the fact that we just saw the economy shrink. we had a contraction in the first quarter. we will get another contraction in the second quarter. we are officially in recession and this morning oil prices are surging again. so we have this elevated inflation happening and you've got a president saying that he's got a plan to curtail it. what can he do? senator: well, first thing he could do is just lift all of his regulatory craziness. you know, his first day in office he signed several regulations and executive orders, undid many of the good executive orders that president trump had put in place and said in op-ed that he inherited a
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very bad economy, that it was very static. the reality he inherited a robust economy built on strong foundation, built on lawer regulations, lower taxes and -- and the reason we were able to come back so quickly after covid was because of the foundation that was built by the trump administration and republicans in congress prior to the pandemic. he instead of seeing that. he doubled down on dumb, passed the american rescue plan with all democratic support adding $2 trillion of fuel to the fires of inflation, increased regulations, stopped oil development largely in the united states of america or at least stopped it where it was and worse than all of that, maria, i think all of these things plus many more send bad signals to investors and the marketplace. while he attacks one side of his mouth wanting to incentivize energy development, when he talks about energy development,
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he wants to have tax incentives for clean energy, electric vehicles all the while the world is crying for more of what we produce in oil and gas and other energy sources so everything that he does sends the wrong messages. maria: well, it's interesting because this is all about messaging and politico is reporting this morning that the president is kicking off this month-long campaign and he's going to have lots of his surrogates out and about talking about how great this economy is and how he's meeting with powell to try to get his hands on inflation as if he's totally detached from the problem and we know that the underlying issue is oil. we've got news this morning of the european union banning russian oil import partially. china reportedly lifting covid restrictions. oil prices are jumping this morning, you have brent at 123.83, up 3 and three thirds percent and crude at 18.73, better than 3% right now as gasoline prices are at record
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high this morning. triple a tells us that the national average for regular gasoline is now at 4.62 a gallon, senator. so the president is going to begin this new campaign, month-long campaign, send surrogates out there tellingous how the economy is a few months before midterm election so i guess voters go to the poll thinking that maybe it's not the democrats' fault. maybe it's not joe biden's fault that we are seeing inflation where it is despite on day one him canceling all of the energy independence that we've had. senator: he can send all the surrogates he wants and he can have aggressive campaign and scream it louder but it doesn't make it a good message. it's a bad message. his political numbers are irredeemable but people know every time they fill their car,
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they know every time they go shopping, every time they look for a used car or -- or want to buy a new home or build a new home. they know what's happening. the american people are not dumb and he's counting on them to be dumb. i'm not sure he knows exactly what's going on. he clearly has a bad philosophy but rather than scream louder how bad idea you have, how about you change course. incentivize people to work. maria: that is a concern. the fact that there's -- he's unwilling to acknowledge what all of the spending has done from the democrats. you're meeting with jay powell, senator, are you going to tell him to ease up on the rate hikes, what are you going to advise jay powell. he's telling us to expect high a point hike in june and half a point hike in july?
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>> maria, i'm not a banker. i don't even have much of a fors background but i do know this much. when you put one bad thing on top of several bad things you will have more bad things. like i said, my concerned with the fed was always that they didn't start soon enough with wh modest differences and we have much greater demand than we have supply and i just don't know if -- if raising now on a market crash that's reading the tea least is going to be the answer. i will leave that to the experts and listen to what he has to say and i will give my two sents worth. again i wish it would start sooner and more modesty. maria: senator, before you go. we only have 20 seconds. what are the democrats going to
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do in terms of policy? are we going to see a further push to get build back better? >> i'm afraid we are. it's an irredeemable political situation and resigned themselves that is they are not going to win and do all the damage they can do in the meantime. >> senator, good to see you, thank you very much for being here. >> always my pleasure, maria. maria: senator kevin cramer joining us. north dakota, we will be right so now... i want to thank you. i started investing with vanguard to help take care of you, like you took care of me. te quiero, mamá. back. that's the value of owner.
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maria: welcome back, oil prices are up this morning as european union leaders are planning to ban most russian crude import agreeing to cut 90% of russian import by the end of 2022. they are making exemption for any oil that comes through pipelines. brent and crude right now are higher with the price of brent of 3 and two-thirds percent at 123.83. crude oil up 3% at 151 right now. joining us associates president andy, andy, great to see you, thank you very much for being here. your reaction to the eu move, what does that mean for oil prices in the coming months? >> well, good morning, maria. what this means higher oil
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prices are ahead because this impacts 2.3 million barrels of crude oil and another 1.2 refined products and as the world scramble through alternative supplies it means that oil prices have to go up in order to create additional demand destruction to get us back in balance. maria: so what would -- what would additional oil from the united states mean for the global market right now? we know that president biden canceled on drilling on federal land and keystone pipeline and a lot of people say that was one of the key boost for the price of oil which is the underlying issue for inflation. >> well, i think we need to see more oil production around the world and the united states is part of that contribution. the eia expects that next year oil production is going the rise to a record 12.85 million barrels a day when we think about the keystone
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pipeline, the issue is that while it may not come on stream till 2023, it would have allowed the canadian producers to -- to invest in capital to be ready to get oil production out of the ground and fill that pipeline adding to additional world supplies and that is really the big issue. it's how do you get more oil supplies when saudi arabia, the united arab emirates are unwilling to utilize their spare production capacity? maria: yeah, i think it's really worth noting the fact that gasoline prices are at all-time highs, record prices here this morning. the national gas average is 4.62 a gallon. i know that you're predicts that it's going to hit 4.75 a gallon in the next ten days. tell me why you expect gasoline prices to continue higher? >> well, we are seeing the gasoline futures prices rise to record levels which is a precursor to what we see at the retail pump and along with wti
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prices rising to $119 a barrel and brent at 123, it just simply means that the raw material cost is going to go up when we are producing both gasoline and diesel fuel and as we go through 4.75 a gallon, we could start approaching $5 a gallon if crude oil prices continue to rise. maria: look, hold on. because if we are going to talk about 5-dollar gasoline and we are talking about andy prices moving higher in the coming months as we approach the peak driving season, that's the underlying factor in inflation, then it can't be possible that inflation is peaking, is that right? >> well, i agree with you. i don't think that inflation is peaking because not only do we have higher gasoline and diesel prices, we have significantly higher natural gas prices which are nearly triple what they were at this time a year ago and, of course, that's going to impact
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everything from electricity to people's hot water heaters to cooking and so forth. so i think that inflation is going to continue over the next few months. maria: all right, patrice, jump in here. >> yeah, good morning, andy. you know, it's interesting when we are talking about what congress can do, i testified during a judiciary committee hearing two weeks ago and they're introducing price-gouging legislation and demonizing the oil industry and gas industry suggesting that all of the inflation is due to record in the energy industry and price gouging so i would love for you to speak to that because i think most americans don't agree and as i push back on, this is in the about price gouging, record profits are not sign of what's going on here. i would like for you to explain why price legislation is probably not going to do to affect the energy prices? >> well, first, no one was crying to the oil companies when they were losing billions of dollars back in 2020 when oil
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prices plummeted to below $10 a barrel but when i think about price gouging i think about going back to 1970's and having price controls and what we saw in the 70's was oil production in the united states actually went down. when they talk about price gouging, they have no measurement for what is a high price, what is allow price. the fact is that oil prices is not only here and around the world are rising, when we think about price controls, one can look south of the border into mexico where californians are crossing the border buying more gasoline, creating shortages in northwest mexico or if we look in argentina where the domestic price of diesel is 30% less than the impart parity, the result is you run out of diesel. i think the price-gouging ideas make political headlines but they do nothing as far as getting more oil out of the
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ground. maria: all right, we will leave it there. andy, great to get your take. thank you very much, andy lipow joining us this morning as gasoline diesel prices are 5.52 right now. quick break, more millennials are blocking family members on social media over difference of opinion. we will talk about it when we come back in the hot-topic buzz. ♪ ♪ ♪ dates matching your job description. visit indeed.com/hire
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maria: welcome back time for "hot topic buzz." well you can still love your family a even if you don't love their opinions. that explains an increase of millennials saying they have blocked relatives on social media. he over one too many political disagreements of a survey shows more than 78% admitted to blocking family members -- researchers say younger generations do not seem interested in hearing opinions that are different than their own. mercedes what do you make of that? >> [laughter], i got to check my children's social media posts make sure not blocking people, no. i think maria, that -- i think look, it is important to have these debates discussions, and very difficult i think what happened with politics is that it has become so he emotionally charged, so one-sided, and really doesn't allow for public discourse i think that is why you've seen
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even politicians -- not millennials they can't even come get together and find middle ground on the most important issues that matter to the american people. so, you know, do i think social media has created a divisive force but at the same time you can meet a lot of friends online, even your future spouses, online as well might agree with you politically. maria: patrice what do you say to that. >> yeah, you know i agree in a it is very with divisive do i find bright spots at least on instagram most, we are blocking family members because we don't want them into our lives -- trying to keep i privacy, from their grandparents maybe older relatives we don't want to find ourselves in a bubble where all we hear are just people we agree with i do think that social media made that really needed to do. maria: next hour "mornings
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with maria" begins right now. maria: good tuesday morning. thanks so much for joiveng thus morning i am maria bartiromo, hope you had a great memorial day weekend. it is tuesday, may 31, finalizing day of the month, your top stories right now 8:00 a.m. on the button on the east coast. president biden taking on high inflation, the president expected to meet with federal reserve chairman jay powell today the first such meeting since paul are those renominated a second term joe biden out with "the wall street journal" op-ed this morning, he claims the economy is quote in the most robust recovery in history. no mention of the democrats spending over the last year, stoking highest inflation in 40 years, of course, economic contraction in the first quarter. markets this morning, are indicating a decline start of trading this morning, aig headed that have meeting, also
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ahead of emicoat tatt t we wiri bri b home pcesri fama dinatga onutn 90:0 m. m.r 10.e.m consumeonr idenor be town dowor f aecdon n a iroow stshtow nown dn00 s& dowp pp ndaq 11 a a1/thernono sps covere whery wry weet g jo' 'vgote peci s cov ser c all-has-eck s-we is-we is-if if thehe jsss right rht now, onn fr us.us sie mbermbermb 20. lookok market that is lower this morning but off of a strong performance last week dow up 6 1/4% nasdaq up almost 7% s&p 500 higher by 6 1/2% on the week, last week, day final day of the month stocks mixed for the month of may the dow s&p 500 higher but nasdaq down one and two-thirds
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percent, for the month of may. year-to-date markets nervous down across the board the nasdaq down better than 22% in 2022, leaving some to find value the dow down 8 1/2% in 2022 nasdaq down 2 2 1/2% s&p down 12 3/4% year-to-date story the price of oil surging, brent now at two-month high, after european european agreed to ban the import of russian oil, it is making an exception for oil transferred via pipeline. the price of brent 123.83 up 3 and two thirds% crude at 118.74 up better than 3% right now gasoline prices although all-time high 4.62 a gallon of regular gasoline the price moving up now all-time high,
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stocks in up european mixed eurozone consumer price index out earlier hit 8.1% year-over-year highest level in history for inflation in the eurozone, ft 100 up 30 cac quarante down 65 dax lower by 1233 in germany in asia overnight markets finished mostly higher, shanghai composite officials announced economic tax policies to revitalize economy shut down since march shanghai composite up 12.1% hang seng in hong kong up 1.3% overnight in washington biden approval rating sinking even further it is now underwater. in 47 states. new poll shows 47 states including his home state delaware disapprove of the job he is doing more than they approve, how much lower than it go? "mornings with maria" is live right now. . >> morning o mover union
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unilever un6 and a half percent announcing billionaire investor nelson peltz will join board of directors one 1/2 stake in unilever will join as noncompulsive director in july on compensation committee analysts help he can act positive change for the company slufrmd from 2020 pandemic lows still down 30%, from all-time high reached in 2019, unilever shares up 6 1/2% president biden to meet with jay powell for the first time since president announced powell renomination as head of the federal reserve, president biden pening new on he epd for journal titled "my plan for fighting inflation" in january 2021 when i took office recovery stalled covered out of control less than a year and a half my administration, economic, the nation plan helped achieve most brothers recovery in modern history makes it clear no mention
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democrat spending stoking inflation high innovate 40 years we saw contraction in first quarter how robust is the recovery really piper sandler chief global economist nancy lazar patrice lee onwuka give your take we are was he look what what you've written about savings rate, depleted, a lot of peopleings savings depleted now dropping to what 4 1/2% or so, how would you characterize the economy today? >> i would characterize economic backdrop past year basically a rough sought spot now coming down, relatively quickly not too quickly but slowing sharply why is that? because one cliff, consumers
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depleting savings as you he mentioned down to 44, 1/2% now we -- excess cash have been using that but, again, economic backdrop, not whole picture one, real incomes are declining if you take nominal income growth about 4 adjust for inflation down sharp 4% year-over-year basis the reason, heading, into savings, consumer net worth is declining because of destruction in stock market and bond market, in the aggregate, consumer spend being, income declining in real terms, net worth also declining, second quarter consumer spending about 3 1/2, 4% as you go through year that is indeed going to continue to go lower closer to 1%. maria: so nancy you write in
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your recent nancy's weekly narrative long leading drivers point to a prolonged slowdown, nancy. talk to us about what that means, a prolonged slowdown, how will that affect us practically speaking. >> so, first, you have to understand, takes time for federal reserve tightening, bond yields oil prices to hit economy a year to start to change behavior to put in place economic slowdown all things interest rates oil have been going up now for over, over a year up dramaticly we are a quarter of the way down in economic slowdown domestically and internationally, employment going to get weaker wage gains weaker profits declining, and so we're in an important point where announcement gains start to moderate even more,
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downward pressure on consumer spending if you look at s&p data offer gdp date first quarter, declines in corporate stock a quarter over quarter basis, that is really right now to cut costs on announcement claims up, clear signs wage inflation, so goes back to the consumer, consumer spend q2 more pressure we have a year i would argue of this because of indicators interest rates oil just now starting to hit the economy. maria: are a i know that you are expecting inflation to lessen over time you mentioned that but is there any real evidence that says it is peeking right now? we just spoke with andy lipow on oil he said getting worse next couple weeks and months,
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on gasoline. and that is the underlying issue for inflation is there any evidence that you can see that inflation peaking yet. >> a i don't think just oil that created inflation you alluded to consumers given a lot of money in 2021 that was a lot of demand at the same time there was a shortage because of the covid shutdown and in china of 2021, so i figure two factors real that money in my mind is led that surge in stimulus, monitoring, consumers the ability to apply a lot of stuff. and for that demand pushed up prices across the board, to be sure commodities including oil also, prices retailers now seeing in hotels air fair so it is pretty broad-based, on energy side, on energy, prices
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are going to stay high tax on consumers there is on shelves of retailers, going to start to cut prices consumers can't forward to pay higher prices so he we're sticking with 2% core inflation forecasts for end of 2022, house prices up going to weaken, get hard that will slow the shelter component of the ppi with prices declining to be sure overly inflation will stay elevated 3 1/2%, given what you are seeing i am not going to disagree with energy prices, that is a tax on consumer not engrained inflation. >> my question about profits for a moment you just said that it is hitting earnings hitting profits, and you are going to probably see companies react. is the market expecting this? because others have said yeah,
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we're going to see a profits recession, and estimates have to come way down, this is going to be a surprise for markets, and could that lead to a further sell-off we are already down what? 22% nasdaq year-to-date. >> a markets retail companies have seen that happen are inning decline indeed that specter of the market retail consumer discretion, anybody tied to the consumer spending bubble have seen profits already decline, going to spread in other sectors of the economy, including u.s. manufacturing, profits, so, as -- as highlight no have not yet cut estimates enough economic outlook say they are declining will decline further will move stay-at-home bubble
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to a certain extent he can to broader seeing earnings decline international incredibly tough dollar very strong china bouncing around with covid, doing a little bit better national earnings given what is going on in europe will put a squeeze a broad-based cln yes s&p earnings as we go through the year 2020, into 2023. >> you rental mentioned that stay-at-home bubble was in fact a bubble it is right sizing, the right sig cyclical is coming meanings possible up to one million or more layoffs in corporate america, nancy speak to that we are getting jobs numbers out friday but when you worry about a recession got a contraction the next step is layoffs, right? are you expecting companies to start laying off people. >> yes, we are seeing it watching, claims closely the rising trend. yep. maria: nancy how concerning
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is it to you that the savings rate is down, down from really record highs? >> so we think savings rate could move lower but then i think that nation next year more painful, we call it -- consumers -- the lever, not savings the savings rates low bar next year we see entire -- o a problem for again retail space. maria: nancy thanks so much great to see you as always nancy lazar from piper sandler we will speak in soon. thank you nancy we'll be right back we've got issues for swing-state voters next. . (♪ ♪)
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instructions for use and free trial terms and conditions. consult your health care provider before starting on omnipod. simplify diabetes. simplify life. omnipod. maria: welcome back. inflation gasoline prices ought pump, in terms of top irz voters are concerned about swing states and swing districts ahead of midterm
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elections according to a new follow from vice president pence's nonprofit most blaming president biden important record-breaking prices the price of gasoline, today, at another all-time high 4.62 a demand i want to get to apple price mercedes thoughts on this apple price you heard nancy lazar telling us yes, we are at a moment in time right now where we are about to see more and more layoffs, we just hit a contraction in the first quarter joe biden and op-ed today writes that this is one of the best recoveries in history. >> well he's gaslighting american people they are not falling for it as new polling indicates, i mean maria what i find interesting 59% of voters said they would support the president re-signing keystone pipeline the idea, op-ed even white house plan put out, sitting in on oil companies
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retaxings industries price gorging every won under sun responsible in president biden's eyes most americans say no, we hold you accountable for your policies. maria: mercedes going to have a big impact we expect in midterm elections especially for independents. >> that is right look i think we've gone through covid fatigue now through the economy fatigue, why you are seeing a desperate move by biden administration to, basically send out his cabinet members going on economic tour to try to convince american people of our economy being strong. but that is not resonating with american voters especially independents even moderate democrats because i think they believe the democrats have spent too much time, spending money, trying to petition back "build back better", which tailed trying to resuscitate that before midterm elections too little too late american people want
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to see change know what works it was no of america first economic policies that president trump pushing along with many republicans, they want to go back to that agenda. maria: i don't know how you could see call this a most robust recovery in history. i mean, honestly we just saw a contraction but he wrote that in the op-ed. >> yeah, it was unbelievable i mean interesting taking credit for recovery that was already on the way, taking credit for distributing the vaccine developed under president trump prying to pretend everything that happened before he came into office you know he had nothing to do with didn't benefit from, so i think that is what makes opinion piece to disingenerous, gaslighting american people but people are smart enough to recognize, when he changed policies it signals to energy industry every other industry going to
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have an impact on and disincentivizing work, that inspect stay at home on -- not everything -- >> don't forget about the policy of defunding the police going to take a short break then take a look at the crime, and gun violence soaring across cities over the weekend, the holiday weekend pop former being new york city police commissioner ray kelly is here to weigh in after this break. ♪♪ he ♪ back home, ♪♪ this thing, it's making me get an ice bath again. what do you mean? these straps are mind-blowing! they collect hundreds of data points like hrv and rem sleep, so you know all you need for recovery. and you are? i'm an investor...in invesco qqq,
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>>. >> . maria: welcome back, at least 30 people across the country killed over the weekend from gun violence dozens others injured if bloody memorial day most violence unfolding in democrat led cities like chicago, 44 people shot 8 fatally at least 1 killed in fill surpacific more than 200 homicides before start of summer joining me ceo guardian group ray kelly always a pleasure to see you thank you very much for being here heap
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you had a good memorial day weekend what do you make of this violence over weekend. >> continuation what we've seen this year, certainly in new york city, crime up 40%, what is important i guess is that shootings you murders gone down somewhat but heavy bait for 2020, 2021 shootings up one hundred percent in 1 hundreds 2020, 70% 2021 some good news but in new york people are so afraid of riding a subway, ridership 60% what it was before the pandemic, and that is hurting the transit authority tremendously people are not populating midtown manhattan new york is in trouble the reason people aren't riding subway cause afraid of the crime and in the
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subway. i don't see anything changing here certainly not most recent statistics that have been published, new york is in trouble. maria: new york city mayor eric adams has been talk up a big game telling us how he is going to get controlling of it going to ensure that this stops it only got worse now we understand reportly looking at 2024 run for white house if president biden does not seek second term mayor of new york city thinks he can run for president as crime in the largeest city is soaring total crime new york city up nearly 40% compared to 2021 as you just said not just guns, this is transit crime this is attacks transit crime one skyrocketing to 57.5% increase year-over-year commissioner.
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>> yeah. i tell you neighboring you know unfortunately, he increases we have seen in poor neighboring, now we're seeing it in the wealthiest neighbors crime up over 50% upper east side mugings, purse snatches up auto theft up over 50%. in that precinct, so it is across the board. and really impacting people's lives, it is all people can talk about here in new york. and mayor adams as you say has to put up. he has a spoken a lot of the right words made good speeches but nothing seems to have changes. so something has got to give here. and it is at best less tan a murder for him talking about any other office. >> how would you grade his perform so far?
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as a former commissioner, yourself who has have a really get your arms around entirelying crime bring it down you did so well what is your advice what needs to be done. >> well, i think a couple things that can make a difference, number one, put back the anticrime unit, these were officers in civilian clothes units in xinz almost five decades valuable tool addressing street crime the previous administration de blasio removed they units from the street i think putting them back in place, would make a big difference, stop -- frisk a legitimate tool not being used in new york city
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should be based on supreme decision terry versus ohio codified the reality is police officers have been scared away from using it, you can make a big difference as well, i also think that police officers in the subway have to be deployed on the platforms, not up in mezzine need to be where people are standing most concerned, that is a question of -- of supervision as well to make certain that officers are there. maria: yeah i guess you know you have to also see an effort to make things safer, people have to believe, that the subway is safer, in order to get back on it. >> that is right, exactly. seem how regain confidence of the people that they are not going to be molested, robbed assaulted in subaway i seems
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every day in newspaper you see horrifically crime took place in the subway this continues to scare people off the mass transit. maria: and mayor adams keeps saying ceo in new york go ride subway ceos goldman sachs, jpmorgan, you haven't seen them respond in what the mayor would like to see we will keep watching commissioner always a pleasure to see you. thanks very much. >> thank you, maria. take care. >> all right ray kelly joining us quick break a bipartisan push to break up google colorado congressman here to tell us more about new bill, looking at social media, stay with us. . . your record label is taking off. but so is your sound engineer. you need to hire. i need indeed. indeed you do. indeed instant match instantly delivers quality candidates matching your job description. visit indeed.com/hire only two things are forever:
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cheryl: that is right, maria. french food giant announcing sending five million bottles special formula to the u.s. half a million cans specialized med formula felon from uk next few weeks should reach distributors by first half of july. this comes as nestlé shipping first batches gerber baby food from the netherlands -- baby formula from switzerland to the united states fda investigating a potential link between hepatitis a, outbreak fresh organic sprau beries cases have been identified in california, minnesota north dakota. led 12 hospitalizations, strawberries branded kresh campo a2 biden march 5 an april 25 distributed nationwide told a number of retailers, kroger receive a
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aways trader joes walmart, then there is this "top gun" fav. >> right after made his record if you will kicking off summer high profile budget releases studio chiefs hopeing to get movergoers book to pre-pandemic habits cool thing he flew now a pilot was flying in the sequence, hats off to him. maria: all right, we will have to check it out we are taking a look at social media google advertising business could be broken up under a bipartisan push in congress a bill looking to prevent large companies as google and facebook, from working in
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multiple sides of the digital advertising market and dominating joining me right now colorado congressman ken buck member judiciary foreign affairs committee thanks for being here can you tell us more about it. >> sure. google operates all three sides really of the marketplace, they represent buyers with ad market business, he sellers, they are also, bought doubleclick sort of auction house for this online advertising this bill says that you do 20 billion dollars or more business in online advertising that you can't be in all three or even two sides of the marketplace you have to make a choice if you do more than 5 billion dollars you have a fiduciary duty requirements google is prefaceing its products
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driving prices up in marketplace. maria: the rules around social media, first introduced so many years ago companies were much smaller, and not as dominant as today they have become incredibly powerful we haven't seen serious legislation in terms of putting them down to size do you believe this is bipartisan this you think you are going to get support on the other side. >> this is not only bipartisan this is also bicameral like me has done a great job in the senate, senatorsly cruz hawley many got onboard with democrats we have four or five democrats leading the charge i think this stands very good chance passing this year making a big difference frankly. maria: what else happens this year in your view, congressman? because i know the senator
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schumer has been once again working with senator manchin, trying to get manchin to get on the board of more spending, they are trial trying to get climate deal through 300 billion dollars in climate regulations that is going to happen this year do you think? >> i think as we get closer to election did democrats would be silly to try to pass some of those issues, and make a focus of this november's election all about spending at a time when americans are fed up with inflation, so i don't know i doubt those bills pass i do think that there are other bills that may pass. maria: we will see, again, the senate returns next week, and they are talking about this revamped package 3 hundred billion drug pricing 200 billion obama care subsidy extension we will see if manchin goes along with it but i got to get your take on
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united nations and iran blinken has been saying a year ago said iran weeks away from nuclear weapon this week weeks away how far away why is u.s. negotiating an iran deal. >> two great questions i am not sure how far they are away, i think it is existential threat to israel a huge threat to united states another nuclear power when russia provided ukraine we backed off said we can't get involved because nuclear power if iran has nuclear weapon changes dynamic in the middle east makes saudi arabia immediately try to get a nuclear weapon to defend itself, so, it really is a complicated factor something that is a failure of u.s. foreign policy. maria: well -- i mean, failure of foreign policy, we
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are watching death and destruction every day hands of vladimir putin joe biden said no, not sending ukraine long ranger missiles of escalate things i escalatory he said for russia we are worried about escalating russia when it has been escalating war since february taunting the world with you nuke ambitions. >> ukraine didn't invaded russia, russia provided ukraine clear we should do everything he can to support ukrainians not suggesting put men and women on the ground but do everything we can to support ukraine this its fight against russia patrice jump? >> congressman buck good to see you i mentioned i testified at hearing you presideed over antitrust hearing to bring back to that bill you what do you say to those say quite a bit of
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competition in the ad space a company buyer and sincerely does note he necessarily mean destruction to competition in the ad space. >> well, i would say to them that the google at market represents 90% of the large publishers 75% all in buying ads i think that is a monopoly i think it is dangerous i also, know that the texas attorney general and other attorneys general are in a lawsuit with google because there is some there is an alleges that there is an agreement between google and facebook, anticompetitive agreement whereby facebook agreed to the to compete with google, goal good he o give facebook preferential treatment i believe serious issues involved here. >> thanks very much for being here joining us this morning on all of that we will be watching your efforts, sir,
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thank you, quick break then supply chain solutions, how one ai company is playing their part in the trucking industry and shortage of truckers more on that. you are watching "mornings with maria" live on fox business. ♪♪ because every day matters. and having more of them is possible with verzenio. the only one of its kind proven to help you live significantly longer when taken with fulvestrant, regardless of menopause status. verzenio + fulvestrant is for hr+, her2- metastatic breast cancer that has progressed after hormone therapy. diarrhea is common, may be severe, or cause dehydration or infection. at the first sign, call your doctor start an anti-diarrheal and drink fluids. before taking verzenio, tell your doctor about any fever, chills, or other signs of infection. verzenio may cause low white blood cell counts, which may cause serious infection that can lead to death.
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switch today. maria: welcome back. bringing efficiency to the supply chain, technology companies uses ai powered digital fleets to help truckers and companies make up for lost time on the road, a.i. can help them work around traffic inflate drivers against rising gasoline cutting travel time in half, by half a day, this sf is already taking off in los angeles, with more expansion on the way joining me right now cofounders of baton, gentlemen thanks very much for being here great to see you, we look at ai a lot i did one hour special on ai know it could be game changing can you tell us more about how this works. >> nate. >> yeah, absolutely, thanks for having us on our mission
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is to eliminate waste time in tracking we launched the first a.i. powered local fleet in los angeles, so we have a fleet of drivers moving freight locally in l.a. like other trucking companies but what is different we have software that aggregates hundreds of thousands data points from warehouses truck traffic to predicament how long each load will take use ai optimization algorithm to match most efficient possible maximize you productivity eliminate waste of time ensure drivers paid more passing own more will reliability cost savings to shippers. >> artificial intelligence, andrew, how specifically does artificial intelligence make this possible? >> o great to be here maria. the way to think about it is we're incongesting thousands
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of data points different warehouses every day year-round we can the probability distribution kufshgz to each data point warehouses to get trat estimate how long, given load will take we can then use, also kind of constantly, data points on opticals, chaos of trucking we ache that together apply artificial intelligence to make the best decisions possible, on where drivers should go a given day. >> what specific data are you gathering? >> so, the biggest source of data is partnerships with most majors elb? devices gps devices placed on most trucks in the united states in about 2018 partnerships with those providers, and we inject that gps data to make really good decisions. >> so this gps data can
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indicate where there is product moving and flowing seamlessly versus where there are logjams right? is there anything more than that? >> a yeah, exactly, so the way is through gps data you can see how long a specific truck spends at each warehouse doing a lead unload aggregate across hundreds of thousands trucks you can say for this where you have a this facility on tuesday 2 pm, going to be an average four hour wait if we deliver on thursday, at 8:00 a.m. only a two-hour wait that helps be more strategic with when we send drivers to different warehouses. >> very interesting you are planning expanding in more cities tell us about that, where do you want to go where do you see business? booming the most or having problems the most that you can actually be effective? >> well i think the best way
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to answer that question to talk about kind of how we got here where we're going based on that we spent past two years operating as local for largest trucking companies in the united states, so i think one, where we operate as extension of their business, and during that time, is when we actually build the software platform talking about now, that unlocked some very unprecedented results in trucking so our drivers 20% more productive than average public trucking carrier what we're doing now to answer your question using that to launch our local fleet where working directly with shippers that think like walmart target, handling any local freight los angeles is the one of the denseest it from a markets in the united states craziness with ports great place to start but after going to dallas atlanta, chicago really keep going.
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maria: well you are fleet sounds like game-changer he terrific, nate robert thanks very much for being here congrats great to talk with you both we appreciate your time we will be watching quick break then honoring our fallen soldiers, our heroes, d.c. tradition that is back after pausing during the pandemic that is the big buzz next. ♪♪ ♪♪ it did yesterday. while it's more unpredictable, its possibilities are endless. ... so, they can have more success tomorrow.
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♪ one thing leads to another ♪
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maria: welcome back. time for the big buzz. it is the big buzz of the morning, and the u.s. automobile association, usaa brings back the memorial day tradition of 133-foot long poppy wall in d.c. the wall honors service members who made the ultimate sacrifice, it began in 2018, but was paused in 2020 because of the pandemic. the wall includes 645,000 poppy flowers, which represent someone who died while preserving our nation's freedom. patrice, mercedes, such an honor to talk about this , as we give a shout-out to all of those incredible courageous men and women who sacrifice everything for the united states of america and our freedom and liberty. your reaction, mercedes? >> well, first of all, it just
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shows that while a memorial day weekend we're with our family and friends we do need to reflect and take time to thank those service men and women who have fought for our freedom, and it really shows the greatness of this country, the greatness of the people that decide to sacrifice their lives to serve our country, and to ensure that we always protect america's greatness. maria: like my uncle, who lost his life in 1944, and died in bu rma. patrice, i'll always hold that dear in my heart and i'm grateful to all of my family members who serve this country. >> yeah, maria, you know, i agree with both of you ladies that this is such an important memorial. it's the fact that it's so bright red as a reminder that it takes blood sometimes to preserve our freedoms and our liberty. you know, and i also think that it's good to remember the
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families that is been left behind and the children who have grown up without parents because of that sacrifice that was made, so i'm really pleased that this was able to return to the national mall. it's just a reminder that we cannot forget those who sacrifice so much everyday. maria: yup and that's right thank you so much to the families of those fallen heros. patrice lee onwuka, mercedes schlapp great to be with you, have a good day, we'll see see you tomorrow "varney" & company begins right now. stuart: good morning, maria, good morning, everyone. we're coming back from a long holiday weekend where inflation was obvious. at the gas station, at the grocery store, at the restaurant , price hikes were staring you in the face, but the president, hold on, he's got a plan, and the wall street journal he outlines three points to tackle inflation. number one, he won't interfere with the fed, number two, he meets with jay powell at the white house, he'll make things more affordable for families and third, he'll t

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