tv Varney Company FOX Business September 23, 2022 9:00am-10:00am EDT
i love you for asking that question. thank you, so much, and thank you, everybody for watching. i want to thank you for joining us on a busy week. leo kelly and john lonski, we're looking at a market down near the lows here, down 400 points, thanks very much for weighing in on all of this , this morning. dow industrials down 400 and the nasdaq down 153. "varney" & company begins right now stu take it a away. stuart: good morning, maria, good morning, everyone. this is a big day for the republican party. they released their commitment to america, it's the plan to re take the house and the senate. republicans say they will run on kitchen table issues inflation education crime the border and freedom. we'll tell you exactly what it says. and this is a very big day for the markets. central banks around the world are raising rates following jay powell's lead and investors are selling big time. the dow industrial average is only a half percentage point above its june lows and looking
at a 400 point decline at the opening bell this morning. it's going to be below, it is below 30,000. the s&p 500 way down on the downside, 52 points lower but look at the nasdaq. that could drop below 11,000. it could, it's down about 150 at the opening bell. now, we've seen some extraordinary movement in treasury yields, straight up. the 10-year now pays you 3.73%. the two-year oh, please look at this , 4.15%. it was much higher than that earlier. let me show you the price of oil it's barely holding $80 a barrel on the brink of dropping below 80 bucks all about the impending global recession. that's the markets. in britain, oh, a radical tax cutting plan, how about that? quasi quatan, the finance minister over there, is cutting income and corporate taxes and going for growth. you know we could use a man like
that over here, couldn't we? in new york, mayor adams is building tent cities to accommodate the thousands of migrants coming to the city. 2,000, in the last week. more buses arrive today. there's extraordinary demographic shift taking place here. poor people moving into the city , the money moving out. it's going to florida. friday, september 23, 2022. "varney" & company is about to begin. >> hi, stu. this is carl porter from seattle there's quite a few of us here, and we just want to thank you for a wonderful show. you are all a wonderful team. ♪ we're the kids in america, everybody listens to the music around ♪ stuart: we are playing that song "kids in america" to kickoff
this friday morning and here is why. house minority leader mccarthy and two dozen republicans have unveiled a mid-term election agenda. it is called the commitment to america. lawrence jones is at a diner in pennsylvania and he's been talking to top republicans about this plan, all morning. all right, lawrence. i hate to interrupt the breakfast that you're feeding to that calf, and i know that's what you're doing right now. this is a great show. lawrence: yes, so [laughter] so stu, this restaurant we're at today for the republicans to present their commitment to america is also a farm, and i haven't done this in a while since i was a kid, stu, so i just had to get into the action. i'm going to pass them on over to my lovely friend here. so this is what the republicans were talking about and of course , they wanted to present this plan with average day americans, and you've got to start on the farm, stu. now from what i hear from the republicans, this will all be about the economy. we're talking about inflation, as well as energy policy, because we know americans all
over have been hurting when it comes to that but they're also going to be talking about the border. they are talking about crime as well. they say they want this to be a hopeful message for americans, and as i said to the minority leader today, you know, we're going to be holding you guys accountable for this commitment. he says that we should be able to check everything off on that postcard. this is the postcard they have for commitment in america. so you may be asking for self, stu, what are the democrats going to do? so i've been tracking them for a little bit. when you look at their spending, when it comes to the adds, they are talking about abortion, abortion, abortion. they say that will be the decisionmaker for a lot of voters out there. they don't want to talk about the economy and crime and they definitely don't want to talk about the border. how this shapes out? we don't know, but we started off in pennsylvania for our tour of all of these swing states, stu, and the release of this commitment to america. i'll send it back to you in new york, brother. stuart: we'll take it thanks very much indeed. back to the calf and his
breakfast there. we'll see you later, thanks very much, lawrence. good thing. all right, this is a very unusual show, you have to admit that. mercedes schlapp is with us now. you know, mercedes, the commitment to america reminds me of newt gingrich's contract with america. that was a big winner, 30 years ago. you're hanging your hat on inflation, the border and crime? that's where you're coming from? >> right. look, stuart i think it's even more than the economy, it's going to be immigration, crime, even election security. i mean, this is about multiple issues that the republicans are focused on making sure that we come up with solutions, and as we've seen with congressman mccarthy going to all the republicans and saying listen, these are our concepts. come up with the right bills that we can push forward. let's be on the same page and get these bills passed. i really love this idea of making sure that republicans put out their action plan to voters
and not only just talk about what they're against, so this is , i think, a very important start. we've seen this also on the senate side with senator rick scott, when he announced his 12-point plan to rescue america. they're very much aligned. it's about border security. it's about prosperity for all americans, and it's about educational choice for parents. so for parents to be able to choose where their students go to school, in addition to ensuring they are able to hire over 200,000 police officers to keep our community safe. stuart: how specific does the commitment get? i mean, for example, are you proposing any tax cuts? >> well, i think that they're looking broadly as to what the republicans can bring to the table in terms of bills. republicans have been very committed to making sure that we're able to cut taxes as we know under president trump. that was one of his most successful pieces of legislation that he signed, and worked with
congress to get this done, so look, they understand the economics that works to make sure that we're able to create prosperity in america. that includes tax cuts. that includes reducing regulation, and that includes controlling reckless spending, which is where you're going to see a lot of these fights. it's going to happen with the budget fights in congress. stuart: mercedes, thanks very much for being here this morning have a great weekend. we'll see you real soon. now, white house press secretary karine jean-pierre joined the view yesterday. she was asked about biden running in 2024. lauren, did she dodge the question? lauren: you bet she did. it's all stemming from biden's 60 minutes interview and his staffers are still splitting hairs on a potential 2024 run. >> i think he followed up and said that he intends to run, and that's basically been the place that he has been and i have said that, he's said that, the vice president has said that, that he
intends to run, and look, i think for this president, for this administration, it is so important to focus on what's at hand, and that's where our head is at. lauren: [laughter] so then one of the co-host sarah hanes asked well what does a win look like in november for democrats, and karine jean- pierre answered with another dodge and lashed out at senator lindsey graham and his 15-week abortion ban so whoopie goldberg made a joke about that and she later apologized for it. stuart: what a mess. lauren: that's a nice bottom line. stuart: get out of that mess, good lord. okay, i want to get back to the market because this is going to be a very, very big market day, kenny kenny polcari is joining us on the set in new york for the full hour. is this the throw in the towel day, the capitulation selling day? >> well listen it's starting to feel like it's going to be. i got up this morning and
futures are down 100 points, 80 points now down close to 450 points on the dow, so it feels like it's getting to that point where it might start to get ugly and we actually need that to happen. but look, we're about 100 points away from the dow crossing over the june lows. now the dow transports did it last week. if the dow industrials follow that, then dow theories suggest there's more downside to come. it's going to be very key. another 100 points the dow is down 322 now it's going to be down 500 points for it to pierce that level so keep your eyes on that. stuart: if it does piece that level -- >> dow theory says both the transports and industrials are now below those levels and so you'll expect more selling to come. stuart: is this all about central banks, all over the world, raising rates significantly? >> yes, i think that's it. i think jay's comments the other day of how they raise the terminal rates suggesting that the fed is now more concerned that inflation is not responding as quickly or the way that they expected it to be, and so they talked about
the rate now being 4.6% up significantly from 4-4.2% so all that and then you have goldman sachs this morning as if they had this brainstorm overnight saying they expect the fed to keep raising rates. hello, jay powell just told you they are going to keep raising rates. stuart: no way around a recession. >> the recession is already here. stuart: okay, but it gets worse. >> yeah, it's going to get worse and be longer and deeper than what they originally thought. it's not going to be the short, shallow recession. stuart: let me get to the, stay there, please, kenny. let's get to goldman sachs, because they did indeed slash their target for the s&p. they had said that it would hit 4,300 by the end of the year. lauren? what's the target now? lauren: 3,600. stuart: whoa that's a big drop. lauren: goldman is acknowledging what kenny just said a hard landing is inevitable essentially, right? it's not just pain for the economy, the pain that powell talks about. it's not pain for equities, right? so with the s&p potentially being at 3,600 at the end of the that's down 4% from where we are right now, as of yesterday's
close, but it's down 16% from goldman's 4,300 forecast, so that's a big drop, and look, investors are putting money into cash. bank of america is saying bond funds recorded outflows of $7 billion this week, putting 30 billion into cash. investors are scared. stuart: thanks, lauren. one more time, check futures before we go to the break. we're down 320 on the dow, about 100 on the nasdaq. that's a little bit of a come back from where it was maybe 10- 15 minutes ago. coming up on the show today, president biden says the pandemic is over, so why are democrats pushing for more emergency funding? vice president harris slammed republicans for busing migrants around the country, including to her residence. roll tape. >> they're playing games. these are political stunts with real human beings who are fleeing harm. stuart: hold on a second. the vice president is the border czar. where are her solutions?
then i got the dexcom g6. i just glance at my phone, and there's my glucose number. wow. my a1c has dropped over 2 points to 7.2. that's a huge victory. you see, son, with a little elbow grease, you can do just about anything. thanks, dad. that's right, robert. and it's never too early to learn you could save with america's number one motorcycle insurer. that's right, jamie. but it's not just about savings. it's about the friends we make along the way. you said it, flo. and don't forget to floss before you brush. your gums will thank you. -that's right, dr. gary. -jamie? sorry, i had another thought so i got back in line. what was it? [ sighs ] i can't remember.
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♪ stuart: doesn't that look like a nice weather day in chattanooga, tennessee? 61 degrees, crystal clear, and bright sunshine. it's my kind of weather. by the way if you like the music we play on the show, follow us on spotify, search "varney" & company, or scan that qr code, in the center of your screen. futures, any improvement you
asked? well a little. half an hour ago we were down 400 and change, now we're down 300 and change, the nasdaq still down 100 points. lots of red ink so far today. the mid-terms, 46 days away that's it and if republicans win back the house they are going to take on woke capitalism. oh, that's good. edward lawrence is with us. how does the gop want to handle these companies that are, indeed , pushing out political agendas? reporter: well, one way the chairman of cpac, matt schlapp sent a letter to republicans saying anybody in a leadership race will pledge they will not take meetings with woke companies. now the letter does not designate what they believe is actually woke companies but you may remember the problems that disney got into after they went after governor ron desantis in florida for policies there. meta or facebook, with the relationship it had to progressive values on its site, delta in georgia, with its opposition to the voting rights bill. here is senator bill haggerty talking with bank ceo's yesterday. listen. >> do you believe that these
activists shareholder stuarts are cabbies are thely representing the views of the individual investors who actually own these shares? >> yeah, so all of those investors have a fiduciary responsibility to do their homework and vote. i personally think it's a disgrace when they rely on advisors and i think the proxy advisors are terrible. reporter: so, meanwhile, progressives like rashid tallib pushing more companies should pursue a political agenda, here is her exchange while grilling the heads of the largest banks in the u.s.. listen. >> we are helping our clients make a transition and that means we're lending to both oil & gas companies, and to new energy companies, and helping monitor their course towards the standards you're talking about. >> i'm not going to ask you mr. dimon, because you don't care about companies like ours facing huge amounts of as majority, respiratory issues and so much more. reporter: the president himself turned more political in his speeches as we get now closer to the mid-term elections. the progressive wing party as
you know over the last 20 months has been vocal in pushing this president to the left. back to you, stu. stuart: don't you love know those progressives? edward lawrence thank you very much indeed. we told you about republicans and their new commitment to america plan. it does focus on the economy, safety, and government accountability. congressman tony gonzalez, republican from texas joins us now. sir, your district is on the border. what does the commitment to america plan do for the border? >> yeah, every american deserves a safe community, and what this commitment to america does, it focuses on doing exactly that, whether you're like my district in texas, 42% of the southern border, del rio, eagle pass, san antonio, el paso or whether you're in pittsburgh , i'm just outside of pittsburgh in pennsylvania or anywhere else in america, everyone deserves to feel safe in their community. what are house republicans going to do? end catch and release, ensure there's technology in border and ensure that the power of the
purse resides in the house. that's what happens when we win back the majority. stuart: are you going to build the wall if elected? >> absolutely. look, walls work. infrastructure works. it's critical that we have this. this is a no-brainer. you're seeing biden administration now start to finish parts of the wall, so there's a lot of aspects of it. the other part of it too is to ensure that the fentanyl that's coming over, that there's laws in place to punish those , that are killing our kids through this deadly drug. all of these things need to happen. we've seen how the house democrats, democrats in general, their failed policies. now it's time to see house republican policies. this commitment to america does exactly that. we have a plan and then once we win the majority, it's time to execute that plan. stuart: vice president harris says republicans are playing games with human lives by busing migrants out of texas. what's your response to the vice president, playing games? >> well, if anything, this
administration won't even play games. they won't even acknowledge that it is happening. in el paso, in my district, you have hundreds of migrants that are sleeping in the streets, and the vice president won't come down. she's coming to texas to do a fundraiser in austin next month. they won't look at the border. it's time for house republicans to highlight exactly what is wrong with them and when we're in power we have to end this. there's too much at stake. every city in america is now a border city. no one feels safe. we have to make sure america feels safe again and that starts with house republican leadership stuart: congressman, we have a troubling report that venezuela is emptying its prisons and sending their most gang dangerous criminals to the southern border. what's the source of this , what do you know about this report? >> you know, stuart, i've heard this for months now. its not only venezuela, it's other countries as well that have been sending their less- desirables to our borders. we've seen it. we've seen border patrol catch 78 people on the terrorist watch
list. it only took 19 terrorists from saudi arabia to kill almost 3,000 americans. it's a powder keg waiting to happen. you're only going to see more of this so while there's a lot of people fleeing desperate situations, looking for a better life, there's also these bad actors that i guarantee nobody wants in their community. we have to stop that, big part of that is securing our border. stuart: congressman, thank you very much for being with us on an important day. much obliged to you, sir, see you again, soon. check futures, we've come back a bit now we're down only 290 points and the nasdaq is only down 94. still plenty of red ink. we'll take you to wall street, next. ♪ ♪
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that's $100, that's right now, meta is at 140. 141. you're looking for an extraordinary gain, that's a very bullish outlook there, mark. >> well, these are volatile markets, stu. we've had extreme volatility to the downside, stocks that have been off 70% year-to-date like a netflix and meta, facebook, whose been that zip code too and you can see these stocks snapback quickly, if the right things come together so just look at what's happened in the last two months. you've had names like netflix and amazon trade up 25%, dramatically outperforming the market, because they're fundamentals have inflected up or there's a belief there's a new catalyst. fundamentals infected up with amazon, there's a belief there's a new catalyst with netflix in terms of ad revenue. we're living through a really difficult market in terms of rising interest rates and concerns over the economy but at the end of the day, i do think stocks continue to follow fundamentals, and if you can get the right fundamental call
you'll get the right stock call. we haven't seen fundamentals improve yet. they will in the next two or three quarters and it's the one quarter where it happens you want to be long the stock before then. that's why i like meta. stuart: on the show you were on not too long ago looking at netflix and you had a price target of $300 a share. netflix right now is 235. again, you're looking for a significant gain by the end of the year. that's a very bullish outlook for netflix. >> yes, it is. it's 12 months outlook. this is the most identifiable catalyst. i can see across tech so this is , by the way the valuation, for the first time ever, you can buy netflix at like a market pe multiple, gaap pe multiple of around 18 times bringing in a new revenue stream. they are going to finally they should have done this a few years ago but that's the past, they are finally rolling out an ad-supported service. this will solve one of their biggest problems. i think netflix over the years with all the price increases has
painted itself into a premium price corner. this is the exit from that, so again, they should have done this before, but the catalyst is coming up and i think that can really unlock a lot of value on a stock that's been beaten down dramatically. yes, i think there's a lot of upside when you get these kind of situations. stuart: if you're right you'll make a lot of people happy. if you're wrong, they will be annoyed. how about google? >> yes, they will. stuart: i'm sorry. you're in a very difficult industry, actually, making forecasts like this is not easy. i don't think i could do your job but tell me about google, 99 bucks a share right now where's it going? >> well, stu, i always like to be accountable for my calls. i've been doing this for 25 years i get some right, i get some wrong and i live by my calls. on google you also want to factor in valuation. look this is again, extremely dynamic challenging market kind of like a movement in the market if you will rising rates, falling economies, that's a pin sexr movement and a very challenging environment so you want to look for the highest quality assets out there. i think that's google.
its got one of the most recession-proof advertising models out there, and then also one of the biggest players in cloud computing which has got an enormous amount of growth. i think it's the last thing the companies are going to cut in a deep recession as their cloud spend or cut marketing first and cloud spend last so i like google and i'll continue to be long it. >> [opening bell ringing] stuart: okay you are accountable for your calls and you always come on the show and account for yourself we like that mark mahaney thanks very much indeed. the market is now open. it's 9:30 eastern time on this friday, september 23. we're going to go down, the question is how much will we be down at the opening bell and how much will we be down if any by the close. right now, we've opened up every single dow stock, they aren't all opened yet but the vast majority are in the red. this is heavy selling so far this morning. all right the s&p 500 is down over 1% that's quite a drop, the nasdaq composite is down just over 1%. how about big tech they've all opened and all down, apple is at 150 exactly, amazon, meta 141,
alphabet below 100 bucks microsoft below 240, it's 238. let's start with fedex. now that's a stock that's down 26% this month, and they're raising their shipping rate. how much are they raising rates? >> talking about 6.9% on average and good morning to you, stu, and that's because fedex is complaining of what they call tremendous inflation that they really didn't anticipate, so they are paying more for labor, transport, fuel, and you have to remember that fedex is trying to save cash right now. they are closing 90 stores parking planes, hoping to save around 1.5 billion to maybe 1.7 billion, so that's actually more than 4 billion that they just pre-announced last week, and as you know, they are predicting a worldwide recession , pulling guidance. my question is, is it just a fedex problem? because their competitors, ups stuck to their guidance for the year, just earlier this month, so is this an execution problem at fedex itself. stuart: it's quite a slide they have been going on that's a fact
costco, now, i know they reported robust demand. i mean, what was it same-store sales up 10%? >> 14 actually, from year-over-year, which is pretty incredible. stuart: so why is it down? >> i think it's good, not great , and when you're costco people are just used to you putting in blockbuster numbers. sales beat profit was only in line, they didn't raise membership fees, in fact they topped $1.3 billion in the quarter, from actually accepting membership fees, which i thought was incredible, but look, they aren't following sam 's club which raised fees for the first time in nine years . costco raises maybe every five to six years, so they are due and the ceo says at some point they will have to do that, however, you know the hot dog staying at 1.50 for your hot dog and drinks. stuart: glad to know that. that's the best bargain in retail. >> that's why you go to costco for the deal. stuart: actually it's not. it's a great store to shop in. >> bulk discount. stuart: it really is cheap. so long as you can tag on to
somebody else's membership, simple as that. >> [laughter] revealing too much, stu. you don't pay your own membership fees at costco? lauren: who pays it? stuart: leave me alone. let's talk apple tv. trying to get a piece of sports and now apple music just got a big run in the super bowl. what do we know about this? >> so i think this is a sign of the time. apple music takes over from pepsi as a sponsor of the super bowl half time show, and reports say that apple's paying $50 million a year to sponsor the half time show. that's peanuts for a company like apple. also another indication that they want the nfl, of course, on apple tv plus. right now the lead bidder for the nfl sunday ticket , possibly paying $2.5 billion a year according to reports, apple tv plus already streams a friday night major league baseball game, tonight it's the red sox playing the yankees. highly anticipated. stuart: they have that? >> yeah, so you have yankees aaron judge closing in on the home run record which is a big deal drawing a lot of viewer
s. stuart: if you don't have apple tv you can't see aaron judge? >> well you can, it's free. you can stream mlb friday night games for free on apple tv plus, which is again, another smart way to user balance sheet. they can afford it, they can get new customers in with the interest in some of these live sports. last night you have amazon streaming that thursday night football game, attracting 13 million viewers last week and people are saying this is the last for broadcast linear television. a lot of analysts say live sports go on streaming that is it the death for linear. stuart: you learn something everyday on this program. i did not know that anybody can get apple tv. >> well, only on the friday night major league baseball game , and that was kind of the smart decision-making that they implemented. we'll pay what, i think they pay maybe a billion, less than a billion for those friday night games, but if you're willing to sign up and watch apple tv plus, you could be a reconsidering customer and pay that annual fee and get more eyeballs. stuart: tonight it's possible
aaron judge will hit his 62nd and tie the record? you could see that tonight against the red sox of all people. >> yes, we'll be watching so on average i think they average around 400,000 viewers but with this aaron judge drama there's a lot more tonight. stuart: i've just been informed it's the 61st home run that he might hit. >> but again, drawing eyeballs. stuart: true. >> but you need the apple -- >> icon? >> no the apple system. like the little box. lauren: the app itself, right? >> you need that? >> of course you need that to watch. but that's the point, right? is that if you have if you download the apple tv plus app, thinking that you'll watch the game, but you'll watch a lot more, and you'll stay on and pay that 4.99 a month. stuart: i don't think i've got it. lauren: it's just cable. it comes free with all iphones by the way, stu, so it's already downloaded automatically. stuart: let's talk the stock for just one brief shining moment. >> right. stuart: you like it? susan loves it. >> i think apple is -- >> it's outperforming.
>> it's one of those names you have to have in a core portfolio it's one of the names you just buy it on weakness and i'm just not going to sell it, right? it'll end up in my grandchildren 's account or whoever if i have grandchildren it'll end up there but i like it i like it on weakness. >> it's also cash return as well because they are buying back $100 billion worth of their stock, they have their dividends each and every year and they raise them. lauren: i got dan ives said yesterday on this show that iphone 14 demand is beating 13 demand between seven and 10% globally. >> i already mentioned they are going to ship around 90 million handsets over the holidays and these are by the way 90% are the high end pro-max where they make most of their margins from. stuart: and which you bought. okay, susan. >> two actually. stuart: i know that, i know we'll see you in a couple hours. >> [laughter] stuart: come back soon. now then, let's check that big board. we've been in business for what, six and a half minutes and we're down now 352. dow winners, are there any dow winners, of the 30 stocks in the dow there's one winner, as in going up in price, and
that's home depot, walmart mcdonald's down. s&p 500 winners, pizza operation , right at the top there. home depot aon, any dell it, moderna, and nasdaq winners i don't know that top one, some laboratory. i don't know any of those names except for illumina corporation. you going to tell me what they do? >> i think that they do the lasers for self-driving cars i believe. stuart: okay, nicely put your mic back on very good. all right, now here is what i'm interested in the 10-year treasury yield where is it now? 3.71%, okay? going up. the price of gold, done nothing. what is it now 1,656 per ounce? bitcoin we don't report that earlier this morning at 18, 900 per coin, oil down and look its dropped below 80 bucks a barrel, i should say, 79.24 right now. nat gas is down 4%. the average price for gallon of regular gas is at 3.68 unchanged
from yesterday. california, you're paying 4.91. wow what a show coming up and there's this for you. we have a lot of viewers in the villages, in florida, and i hope they're with us today because steve doocy is on the show. he had a fine old time in the villages yesterday with his cookbook. he's on the show today. will fed rate hikes slowdown holiday shoppers, good question. analysts don't seem to think so. what about our retail guy gerald storch? what does he say about consumers shopping at the end of the year, i'll ask him he's on the show and add speaker pelosi to the list of lawmakers dodging questions about a biden run in 2024. watch this. >> president biden is the president of the united states. he did a great service to our country. he defeated donald trump. i'm not going into politics about whether the president should run or not. stuart: [laughter] okay, democrats seem to be distancing themselves from the president ahead of the mid-terms. we're going to get right into
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stuart: as of right now, 12 minutes into the trading session the dow is down 340 and the nasdaq is down 150. take a look at big tech please. i think they're all lower. yes, they are, and let's bring in ray wang, our big tech guy. ray? obvious question. why on earth would anyone buy big tech when interest rates are just going straight up? >> [laughter] it's a great question, a lot of people are asking. i would actually still be in the big tech space for a couple reasons. massive cash on hand, massive operating margins and we go back and we try to look at where the stories going to be in the long term. these are the companies that are
surviving, if there is a tremendous recession that's ahead of us, so give you some quick examples, right? take microsoft, it's sitting on $105 billion of cash. its got operating margins in the 40% range. those are the type of companies that are going to survive any kind of recession and with that amount of cash on hand, they are going to be able to do a lot more than any of the other companies out there, especially in terms of deploying the cash, using the cash, doing mergers and acquisitions, and not that they have said anything but that really puts them in a good position. stuart: we've got a lot of people saying that big tech is going to go down some more because interest rates are going up some more. why buy now? >> i would buy now, because we're definitely at some of the lowest points in terms of where the markets been for these companies and i think we've over corrected, especially in the last week, on a lot of these names, so microsoft, apple, alphabet, massive overcorrection in terms of the value. these companies have enterprise
contracts, especially in the microsoft and alphabet case which go out three-to-five years , and they've got the where with all to be able to withstand what's going on in the recession i don't know if they are going to drop anymore, but we've seen a floor in the nasdaq sitting around 11, or 11,000 and we're going to test that the next couple weeks to see how far the fed goes and what the thats going to do to tech stocks. stuart: ray, i've got kenny polcari sitting next to me and he happens to like apple and microsoft. why buy now? >> i think he's exactly right because as a long term investor you aren't going to pick the bottom so you have to start to feather yourself in like ray said. didn't say take all the cash and buy it today, but as on weakness , you would feather it in and i agree with ray. i think microsoft, apple, those are names you'll be able to buy at a discount, and then hold them for the long term. stuart: i really do hope you're right, because i've got to check microsoft. >> i do to. stuart: i noticed ray that you like tesla. you would buy tesla today.
make your case. >> so the reason tesla is important, they also have a really good operating margin in. they are sitting about 19% also sitting on probably 67% of the ev market and the reason they've got this down better than everyone else is they have vertically integrated market. they are playing in the esg space so every stock pick has a tesla in it and of course they aren't, they are more than a car company. they are a tech company, right? so the data they are capturing from maps and autonomous vehicle driving, the information that they are getting to be able to do their underwriting for insurance that's all part of the tesla package and if you've got the batteries and you've got the cars and got the software, you're going to continue to dominate in this market and people want teslas not necessarily ev's. stuart: for the last 10-12 years , i've put money into big tech stocks, and you know, done well because they all went straight up, but things have changed dramatically, it seems to me, and i can no longer expect to get significant gains,
even if i buy more microsoft now , or apple now, supposing i do that. i'm not looking at the same kind of gains that i've been making over the past 10 years, am i? >> you're not, but, this is a defensive move because everything else is actually going further back in the wrong direction, so actually i believe the tech stocks are actually more defensive at this moment than in terms of growth. especially these names, and i probably would counter with the other guest said about netflix because i think their business model is in trouble and it's not about subscriptions and it's not about the ads. they actually have to get into the licensing game and they actually have to get into potentially like theme parks for stranger things or ? ing like that where they take their property and the assets and distribute them out. stuart: theme parks for stranger things that will be a very interesting idea. ray, i'm afraid i'm going to stick with my one and two-year treasuries because i like safety and a tax break so there you go. i'm sure within a few months you'll be back back to say stuart, you missed the bottom of microsoft. ray, we'll see you again soon,
thank you very much, sir. what do you say to that? >> take care. stuart: stick with those treasury, baby. lauren, want you to come into this. former president trump could repeat could be back on twitter when? lauren: facebook. stuart: oh, facebook sorry. lauren: i have an exact date for you. january 7, 2023 potentially because that's when the ban is set to lift, two years after the capitol hill riots. so plenty of time for november 5 , 2024 election day, should he decide to unare. look before he was banned he had 35 million followers on facebook , and met his head of global affairs nick claig is in charge of lifting this ban. he's not indicated which way he will go but yes, he did say if there is no public safety risk to allowing the president back on, january it could happen. stuart: if he's back on does that help meta, the stock? >> i think it's more talked about, more popular in viewers on the site, but i think facebook has gone past this. they are going up to the
metaverse, right? stuart: look it's friday so don't forget to send in your friday feedback, e-mail your questions, comments, critiques even to "varney"firstname.lastname@example.org. and there's this kanye west getting everyone's attention with this , roll tape. >> do you have future political aspirations? >> yes, absolutely. stuart: would he support donald trump in a run in 2024 like he did in 2020? good question, not sure i've got an answer, we'll be back. ♪
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even walking was tough. i had to do something. i started cosentyx®. cosentyx can help you move, look, and feel better... by treating the multiple symptoms of psoriatic arthritis. don't use if you're allergic to cosentyx. before starting...get checked for tuberculosis. an increased risk of infections some serious... and the lowered ability to fight them may occur. tell your doctor about an infection or symptoms... or if you've had a vaccine or plan to. tell your doctor if your crohn's disease symptoms... develop or worsen. serious allergic reactions may occur. watch me. stuart: whoa residents in bermuda hunkering down as hurricane fiona barrels through. adam klotz joins us what's the latest on the storm's track? reporter: stuart large storm now at this point category three hurricane winds at 125 miles an hour, 130 miles an hour is a category four so very strong form moving quickly to the north , northeast at 25 miles an hour just past the island of bermuda but such a large wind
field those folks are seeing it and wind running up to the u.s. coastline, not enough to be doing any sort of wind damage but it's going to make the seas very choppy as it works its way to the north to bermuda and up the east coast into canada so despite the fact this is way offshore we have rip current risks from florida, stretching all the way up to the mid-atlantic getting up into new england. some of the wave heights to be five to 10 feet along some of the area east coast beaches throughout the day today, and then probably lingering into tomorrow, also. the storms track, category three hurricane, will not be making landfall in the united states, but it's heading directly north, so the time you get going into saturday and sunday we'll be talking about a landfall likely in atlantic canada so nova scoti a, one of the strongest hurricanes they have seen but quickly losing strength as you start to get the cold ewaters 115-mile an hour winds dropping down to 85-mile an hour winds by the time you get into sunday evening. now, stuart, this is one storm we're out there tracking but it
continues to be hurricane season and there's actually another one already coming together. we've got a tropical depression now just off the coast of south america. by the time we get into early next week, this is going to have if haded up into the caribbean and we'll be tracking this as it starts to strengthen and our current forecast model is still a long ways out but perhaps by tuesday, or wednesday, this is going to be approaching florida, so we are very much kind of in the heart of hurricane season, and we even have several more kind of lining up back behind it firing off the coast of africa so it is the season. there's going to be a whole lot to track and of course we're doing that on the fox weather app. stuart: yes, you you are i'm following it too, adam klotz thank you very much indeed. see you later. kenny is still with me. we're down red inka cross the board there but look what's the business climate like in florida, still booming? >> it's still booming. there's everywhere you go there's people, there's activity , there's construction, west palm beach building high rise after high rise so they are
anticipating more people coming down, but between new york and florida, the atmosphere in florida is so much different in terms of the activity and what people are doing. stuart: 56 6,000 people move to florida from out of state. >> right. stuart: this year. most of them got some money too. >> right. stuart: kenny, thanks very much for being with us. >> thank you for having me. stuart: get back to booming florida, make some money, ladd. still ahead, tammy bruce, steve doocy, steve hilton, and general jack keane. the 10:00 hour is next. ♪ ♪
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