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Averages Down; WikiLeaks Reveal Cozy Ties; Top Trump Donors Being Called To
Give To Alleged Anti-Paul Ryan PAC; Record Flooding In NC; Hillary's Big
Spending Plan; Samsung Kills Galaxy Note 7; Ravages Of War: Aleppo, Syria
In Ruins; Report: Billy Bush Negotiating Exit From NBC After Lewd Tape
Surfaced; Awaiting Clinton And Gore - Part 2>
Steve Harrigan, Jeff Flock, Ralph Peters>
Hilsenrath, Steve Moore>
Women; Hillary Clinton; Bill Clinton; WikiLeaks; Stock Markets; Economy;
Media; Storms; Families; Hurricane Matthew; Disasters; North Carolina;
Death; Taxes; Energy; Health and Medicine; War; Syria; Middle East;
Russia; Military; Technology; Samsung; Politics; Billy Bush; Al Gore;
Miami; Policies; World Affairs>
So, you know, quite a turn around from some recent days here, health stocks has seemed some downside today. And you've got the threat, of course, of the interest rates from the Fed moving up a little by three quarter -- no, forgive me, one quarter of a percentage point, and that has everyone on edge.
Hillary Clinton, meanwhile, engaging in a, what do you know, a little more class warfare. She's revealing new details on her tax plan which, surprise, surprise is going to cost you, the taxpayer's big time.
Don't worry she says, oh, we'll just make the rich pay for it. Yeah? How's that going to work? Next.
(COMMERCIAL BREAK)
REGAN: All right. We've got some disappointing earnings out today from the likes of Alcoa. You got stocks deeply in the red. Take a look there at the DOW off 252 points right now.
Healthcare and energy companies are really taking it on the chin. You've got the price of oil also falling, none of this good right now for investors. Let's go down to Ashley, he's at the NYSE with more. Hey Ashley!
WEBSTER: Yeah, it's pretty quite around. They're a lot of doom and gloom, perhaps.
It's a tough day, as you mentioned, Trish, the DOW off 250 points. We know that Alcoa came out with some poor third quarter earnings which is raising concerns. The oil, you mentioned oil. Oil off, well, down to $0.56.
We had a report out of Paris from the international energy agency saying they gave at a monthly report saying supplies are growing again. And, of course, that's not very bullish for oil at all.
Also, some officials in Russia saying, we're not really interested in cutting or even freezing production. So, if you put those two statements together or report and the statement from Russia, this is what you get, the price of Crude down only 1 percent, only $0.56 still hanging above that $50 mark.
Also, let's take a look at the energy stocks, the big ones that you know and how they're performing today. Exxon is down maybe 1 percent, not a huge drop down 87.64, Chevron too down just about 1 percent.
Also, you mentioned the healthcare stocks, Trish, certainly, the worst performing sector in the DOW. And this tells the story, Merck off 3 percent, UnitedHealth Group off 2.5 percent, J&J, Johnson & Johnson, off 2 percent, and Pfizer as well even though that stock down 1 and 3 quarters percent.
So, it's that kind of day. As I mentioned earlier as well, we still have the prospect of a Fed rate hike in December, the dollar extremely strong as well, just adding to that pressure, the downward pressure on the commodities just one of those days.
We'll see whether we can get some better third quarter earnings, Trish, to give more jump to the markets.
REGAN: All right. We'll keep watching it.
WEBSTER: Yeah.
REGAN: Don't go anywhere, Ashley.
WEBSTER: Yup.
REGAN: You know, once this thing start to accelerate, we're going to want to go back to if it starts to accelerate.
Hillary Clinton pledging not to raise taxes on the middle class meanwhile, watch her here.
(BEGIN VIDEO CLIP)
HILLARY CLINTON, (D) PRESIDENTIAL NOMINEE: I have made a pledge, and you can hold me to it. I will not raise taxes on the middle class.
Nobody who is working hard to get ahead should be asked to pay more in taxes when we have so many people who have done so well and are not paying their fair share.
(END VIDEO CLIP)
REGAN: You know, perhaps that's her borrowing from Bernie Sanders, right. I mean, that's one of the things that we have learned through those leaked e-mails.
She's trying to change the conversation here as she tries to really embolden more of his platform. And right now, she is offering a new plan to provide tax relief for families with small children.
Her plan doubles the child tax credit and gives low income families more in the way of refunds. The plan would cost upwards of $200 billion, something she discloses, by the way.
So, what's she going to do to make up for that? I mean, $200 billion, how is she going to pay for all that? Usually answer, you can always expect this one, she's just going to make the wealthy pay.
I'm joined right now for more by Jon Hilsenrath from "The Wall Street Journal" and Trump economic adviser, Steve Moore. Good to see you, guys.
STEVE MOORE, FOX NEWS CONTRIBUTOR: Great to see you. Hi Trish!
REGAN: Jon, you've been looking at some of the math on all this, how does it add up?
JON HILSENRATH, WSJ, CHIEF ECONOMICS CORRESPONDENT: Well, you know, what doesn't add up is how this affects economic growth.
I mean, this is basically redistributing income away from the wealthy and towards the middle class.
You know, I think what she is trying to do is appeal to suburban moms, you know, perhaps who have been turned off by some of Trump's comments in the last few days.
But what you don't get out of this and, you know, we asked some people about this on our story today, how does this boost economic growth, and this isn't a tax policy that really does much on the economic growth front.
And within economy growing at less than 2 percent a year, that's really what we ought to be hearing out of politicians right now is where are they going to do to boost economic growth.
REGAN: No. They just want to boost their own bottom line in terms of the revenue they can possibly get for government and the way, perhaps, she sees best to do that, and Bernie Sanders and those of those elk.
You just keep taxing people who are prosperous, who are working hard. You just keep taking more of their income, right, Steve Moore? At what point, however, do they no longer have any income because they're saying, I don't want to work this hard if you're going to take it all?
MOORE: Hi, Trish. Well, a couple of things. I mean, one is there is a plan that is really oriented towards economic growth.
That's the plan that Larry Kudlow and a couple of others and I help put together for Donald Trump where we're going to cut tax raise for businesses, for families, for high and low income people so they have more money to keep and more money to invest in business.
And we think that's going to increase economic growth by one or two percentage points a year. That's huge.
But, you know you played that, I had deja vu when you played that tape of Hillary saying I'm not going to raise tax for anybody in the middle class, because I bet you go back. You can go back in the outcast back in 1992.
And Bill Clinton said exactly the same thing. Exactly, I mean, almost to the word. I'm not going to raise taxes about in the middle class. And the first thing he did, the first few months he was in office, you remember he had that giant tax increase plan and it had the energy taxes, gas tax increases, tobacco taxes, all aimed at the middle class.
I don't think you can believe that.
REGAN: So, this is just a political stunt. In other words, she's trying to get elected.
MOORE: You're never going to get enough money out of the top 1 percent. You just can't. The money -- the math just doesn't add up.
REGAN: Yeah.
HILSENRATH: Hillary's .
REGAN: But that's her answer, right, over and over again, Jon? She just keeps saying we're going to make the wealthy pay their fair share?
HILSENRATH: For top earners people making 5 million or more, it takes the top rate well over 40 percent, so that's certainly an important part of her plan.
And, you know I would just .
REGAN: Can I jump in and ask a question here, because for top earners if they're paying more than 40 percent, and then they got states, and they got local like you'd have in New York City. You'd pay a 4 percent local and I don't know what state is now, somewhere around 9 percent.
I mean, at the end of the day, you're kind of working for the government, right? I mean, Steve, you'd wind up actually paying the government more of your income than you'd have the chance to keep. What's wrong with that equation?
MOORE: Well, look, you know, if you live in states like New York and California and you have the Hillary Clinton tax increase, you will have many effective tax rates above 50 percent.
What's interesting is, you know, she's saying all these rich people are taking advantage of loopholes and not paying their fair share.
Here is the point though. If you raise their tax rate, that's not going to affect their how much taxes they pay if they're taking advantage all the loopholes. What we do is get rid of the loopholes .
REGAN: Yeah.
MOORE: . so the rich do pay their fair share. There's nowhere to, you know, hide their money from the tax payer.
REGAN: Jon.
MOORE: We lower the rate and broaden the base.
REGAN: You know, bottom line, just looking at this objectively, politics aside, is there a sense that one of these plans offers more growth than the other?
HILSENRATH: Well, you know, I think what really matters, is what's happening, what's going to happen in the House of Representatives. You know, what's going to happen in that part of these elections. And that's something that's really come into focus in the last couple of days in terms of the two plans.
You know, I think the Hillary plan is one that she would say, focuses on tax fairness. And the Trump plan does focus on growth in particular by focusing on corporate tax rates and bringing down corporate tax rates, trying to get companies to bring, you know, to bring more output, more employment here in the United States.
REGAN: All right. Well, you know, look at the Democrat report .
MOORE: Trish, there is a new report out.
REGAN: . the House and the Senate. That might help also explain the trepidation we're seeing on "Wall Street" today with the market off 250. I've got to go, but real quick, what we're going to say, Steve?
MOORE: OK. The new report just came out on census bureau data that in 2016 for the first six months, real median household income fell. So, you know, it rose in .
REGAN: People are getting hit.
MOORE: It's going back down again.
REGAN: They're getting hit. Thank you so much. Good to here from both of you, Jon and Steve.
MOORE: All right.
HILSENRATH: Yup.
REGAN: Again, this market off 245 points right now in part because of some disappointing earnings report out of the likes of Alcoa, which has seem as a bit of the bellwether.
You've got oil trading down today, that's not helping. And, of course, as we've been saying, perhaps, the threat of the Democrats taking the Oval Office, taking the Senate, taking the House, well, that has some people a little bit nervous too.
Samsung, meanwhile, pulling the plug on its Galaxy Note 7 Smartphone after battery problems let the phone catch fire. So, what do you do if you own one? And what does it mean for iPhone sales and shares of Apple? That's next.
Plus, later, take a look at the studio here. This is just awful. This is not from a movie, folks. This is real. It is the Syrian City of Aleppo blasted to smithereens after years of war.
This crisis taking center stage during the Trump/Clinton debate, but, would if anything, what could our country do about it?
Stay with us. I'm back in two.
(COMMERCIAL BREAK)
REGAN: All right. Let's check out this markets which has been under siege today here and much of the session.
You can see here just off the lows of the session, but the DOW is off 1.3 percent. Alcoa really dragging things lower here, seeing its biggest percentage drop in five years.
Shares of the aluminum producer are thinking amid the company's quarterly revenue and profits falling short of expectations.
And "The Wall Street Journal" is reporting that Amazon is set to build the brick and mortar grocery stores for its fresh subscribers as well as offer curbside pick-up for online orders. It's all part of Amazon's push to compete with Walmart and other discount groceries.
OK. We're going to be right back here on "The Intelligence Report" with more on the fallout of Samsung, finally pulling the plug on its Galaxy Note 7 Smartphone. Stay here.
(COMMERCIAL BREAK)
REGAN: All right. Samsung's Galaxy Note 7 is no more. The tech giant permanently halting production and sales of the Smartphone after more reports of the phone batteries spontaneously catching fire, this time from its replacement phones.
The news coming just hours after Samsung warned customers to stop using the phone causing it shares to tumble 8 percent on the South Korean market and wiping out about $17 billion from Samsung's market cap.
I want to go to Jeff Flock, he's outside an AT&T store in Edison, Illinois, where, Jeff, I imagine, they're probably not selling so many Samsungs these days. I don't know, you tell me.
JEFF FLOCK, FOX BUSINESS NETWORK REPORTER: Trish, there are people coming back to these locations because they need to return their phones. And if they do, they get their money back. If they want their money back, also get a $25 gift card if they think that's a good thing.
In addition to your money back, if you swap it for another Samsung phone, they'll give you the cheaper phone, but they'll give you the difference in price as well.
This is a huge hit, as you just pointed out, not only in the market cap of Samsung, but in potential sales. This was a hot phone, pardon the pun, very popular. They thought they were going to sell 19 million of these Galaxy Note 7 phones.
That would have been about $17 billion in revenue, all of it lost. Who does it help? We don't know kidding, it probably helps Apple. It may also help Google because they've got that new pixel phone coming out in about a week or so. So that could benefit as well, Trish.
REGAN: Thanks so much, Jeff. All right. Take a look here at this video, everyone. You know, as I was saying, as we went to break here, it's not from a movie, this is very real.
It's the Syrian city of Aleppo which has been blasted and blasted after years of war. This crisis taking center stage during the Trump/Clinton debate, but we're asking right now, what, if anything, should we be doing about this? That's next.
(COMMERCIAL BREAK)
REGAN: Remember takes office in January, it's going to be inheriting a brutal situation in Syria. You've got a civil war there that's been complicated by the presences of ISIS and other factions.
It has left hundreds of thousands dead. It has left century-old cities in ruins like Aleppo which you're seeing here in this unbelievable video.
This is drone video, and this once-thriving city has been reduced to something you would see in, you know, some kind of movie scene.
But it's very real, and the candidates have very different strategies in terms of how to approach this, so neither really has a very clear plan especially with Russia so involved. Watch.
(BEGIN VIDEO CLIP)
CLINTON: I advocate today a no-fly zone and safe zones. We need some leverage with the Russians because they are not going to come to the negotiating table for a diplomatic resolution unless there is some leverage over them.
TRUMP: Assad is killing ISIS, Russia is killing ISIS, and Iran is killing ISIS. And those three have now lined up because of our weak foreign policy.
(END VIDEO CLIP)
REGAN: You know, Trump also says he disagreed with his running mate, Mike Pence, who said last week, he would support military action. Then again, the libertarian candidate didn't even know what Aleppo was. Remember Gary Johnson told Fiasco on that one?
So, do any of these candidates out there have a real approach?
Joining me right now is Fox News Strategic Analyst Lieutenant Colonel, Ralph Peters. Good to see you, Colonel!
COLONEL RALPH PETERS, FOX NEWS STRATEGIC ANALYST LIEUTENANT: Hi, Trish.
REGAN: It's horrible when you see that video and you think about that image of that little boy, and I don't want to show it because it's just so tragic. And every time I see it, you know, it just, it turns your stomach.
But that little boy who's left in this devastating place after it's just been bombed. Aleppo is a tragedy. What do we do?
PETERS: Well, it's very, very difficult. First thing you have to do is recognize the situation as it is right now. And both candidates get it wrong in different ways.
Mr. Trump is utterly wrong that Assad and ISIS and -- I'd rather, that Assad and Putin are fighting ISIS. They're fighting the moderate rebels that we quipped and letting us pay the bill to fight ISIS.
Now, Mrs. Clinton's idea of a no-fly zone would have been great four years ago or four and a half years ago, but we -- President Obama has let this go on so long.
He's been so apathetic, so lethargic that it's gotten to the point where Russia dominates the skies, and Putin has warned us explicitly that any attempt on our part to ground -- The militarily ground Syria's air force will lead to a military confrontation with Russia. And you know President Obama doesn't have the guts for that.
Now, Hillary Clinton talks about a no-fly zone, and it'd be great if we could do it at no cost, but are we really going to confront Russia militarily in the skies? Are our aircraft going to be dog fighting Russia?
And I'm not saying we shouldn't or we should, I'm trying to lay out the problems here, because Obama has let it go on so very, very wrong.
And so, if Trump is wrong utterly about the situation, I think Hillary Clinton is four years too late with the solution.
REGAN: It's alarming that you've got two people running for president -- well, we can't really even count the libertarian there, because he doesn't have a shot at all. He doesn't even know what Aleppo is, and then the other two .
PETERS: Which may be the least destructive.
REGAN: Misguided views on order. Anyway, Colonel Peters, thank you so much, as always.
PETERS: Thank you Trish.
REGAN: I do want to check on these markets. We're continuing to watch a sell-off here, down 225. We're back with more Intel on it next.
(COMMERCIAL BREAK)
REGAN: Breaking right now, the Hollywood reporter is reporting that Billy Bush, he was the one caught on tape with Donald Trump seemingly egging him on, trying to get him to make some of these lewd comments.
Well, Billy Bush is right now negotiating his exit from NBC News. He was a host on a 09:00 am hour of the "Today" show. We'll keep you posted on that.
Also breaking right now, Hillary Clinton is set to campaign with Former Vice President, Al Gore in Miami just moments from now.
Clinton and Gore, anyone else having a '90s flashback? Sources are telling us that Al Gore will be talking about, well, among other things climate change, his favorite topic.
Liz, over to you.
LIZ CLAMAN, "COUNTDOWN TO THE CLOSING BELL" HOST: You know, we're going to get that a minute it happens. In the meantime, "Wall Street" are washed in red right now.
END
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