MARIA-00
Shows Clinton Leading Trump by 9 Points; Amazon Launching On Demand
Streaming Music Service; New WikiLeaks Emails; Samsung Phones, Hoverboards
and E-cigarettes All Catching Fire as a Result of Battery Problems - Part 2>
Cheryl Casone >
Brown, Peter Kiernan, Dave Ramsey >
Polls; Hillary Clinton; Donald Trump; Samsung; FDA; Heart Defibrillators;
Restaurant Leftovers; St. Jude Medical Center; Facebook; Internet Drone;
Retirement; WikiLeaks >
(COMMERCIAL BREAK)
BARTIROMO: Good Wednesday morning, everybody. Welcome back. I'm Maria Bartiromo. It is Wednesday, October 12. Your top stories right now, 8:30 AM on the East Coast, 27 days until Election Day, Donald Trump and Hillary Clinton will stump in the swing states of Florida and Colorado today. President Obama hit the campaign trail yesterday for Clinton. He slammed Trump for calling him a demon.
(BEGIN VIDEO CLIP)
BARACK OBAMA, U.S. PRESIDENT: Democracy in a big diverse country doesn't work if you constantly demonize it each other. Trump's on his show frequently, he said me and Hillary are demons, said we smell like sulfur. Ain't that something? Come on people.
DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: I don't think I'm that outspoken to be honest with you, Bill. I think I'm not outspoken -- I don't know, I don't think -- I think I'm been very nice. I went to Ivy League schools.
(END VIDEO CLIP)
BARTIROMO: A new national poll, meanwhile, shows that Clinton is leading Trump by nine points now. Plus, up in flames, Samsung phones, hover boards and even e-cigarettes all catching fire and exploding. What is the common threat? We're taking a closer look at the lithium ion battery issue coming up. Amazon feeling the music, the technology giant on demand streaming service launches today at a bargain price, we've got the details coming up.
Markets this morning, pointing to a slightly lower opening for the broader averages, take a look. We've had the seen the markets worsen in the last 30 minutes. Investors are waiting on the release of the FOMC minutes, due out later this afternoon. Yesterday, health care got slammed, biotech got slammed, largely on the expectation that we could see a Democratic win in the White House given the polls. In Europe, stocks are searching for direction, take a look. We've got the markets under pressure there as well, also worsening in the last 30 minutes, down to a third of a percent to half of a percent on the major averages in the Eurozone. In Asia, overnight, markets were lower, mostly lower across the board with the exception of Korea. The Nikkei average was leading the losses down just about 1 percent.
A new WikiLeaks release shows e-mail exchanges between Hillary Clinton's political team and government officials regarding containing the potential fallout over the use of a private e-mail server. The latest e-mails show that the campaign was trying to get help from congressional allies in managing public statements about that. Joining me right now is former RNC chairman Jim Nicholson. Jim, good to see you, thanks so much for joining us.
JIM NICHOLSON, FORMER RNC CHAIRMAN: Good morning.
BARTIROMO: Lots to talk about this morning, so we're glad you're here with us. First off, what do you make of these WikiLeaks releases?
NICHOLSON: They're very revealing. I think the most troubling thing I've seen is where they deride Catholics and make fun of people who, you know, follow the Catholic religion, for example. They were very critical of Rupert Murdoch and made fun of him for having his kids baptized in the Jordan River where Christ was baptized by John the Baptist, and made light of that and made fun of that, ridiculed it. And it's very revealing to be of the mindset that they have about the Catholic Church. As a Catholic, I'm deeply offended by that. And I think that is far more outrageous than what we've been hearing about a couple of, you know, macho guys in a bus 11 years ago.
BARTIROMO: Yeah. You know, I think you're right. I mean, it's interesting. I was just thinking about this last night, actually. Why isn't there more outrage about what's happening to Christians all across the world? And then this making fun of Catholicism in these e-mails, I just -- I don't understand.
NICHOLSON: There's a history there, you know, Hillary Clinton for 30 years as derided the Catholic Church. You know, the biggest offense is her advocacy of open tax payer subsidized abortion, and abortion on demand and a partial birth abortions where a child is partly born, sometimes comes out accidentally and can still be killed. She's as strong advocate of that. She's, you know, for death and the contrast is clear with the Republican Party and Mr. Trump. They're for life. They're for life and opportunity, and she's a candidate of the party of death.
BARTIROMO: Yeah.
NICHOLSON: And we're the candidate for the party of life.
BARTIROMO: Well, I mean, look, you know, then you've got the Catholic Church up in arms about the 2005 video where Donald Trump, obviously, makes those lewd remarks. So RNC chairman Reince Priebus said assured members nothing has change, and that the RNC is in full coordination with the Trump campaign. So you've got the tape, the Catholic Church goes berserk over the tape and they're not even admitting that Christians are getting slaughtered across the world, even when you look at the refugees coming in to this country. It's a meniscal number of Christian, it's largely Muslim, obviously. Do you agree with how Reince Priebus is handling this situation? Is that what you would have done in the seat?
NICHOLSON: I think he's doing a good job. He's doing his job. His job is to lead the Republican Party, and Donald Trump went through the process in the Republican Party and got himself nominated. And Priebus is the chairman of the party, and he is working to try to help get Trump elected as well as everybody else down that ballot. His primary job now in this national election is to get people to turn out to vote. They've always relied on the Republican Party to do that, and it's a major responsibility and Reince Priebus is doing that. He's doing it in concert with the party structure, with the nominee and with the state parties and, you know, there's a lot of fog out there masking what the real issues are.
BARTIROMO: Right.
NICHOLSON: I mean, if American people would just contrast the two opportunities that they have, if they want more government, and more taxes, and open borders, and abortions on demand with tax payer subsidize, if they want a weaker military, less personal security and less independence in the part of state agency or federal agencies like the IRS and the Justice Department, then they have a clear choice in Hillary Clinton. But if they want the reverse of that, if they want lower taxes, and a stronger military, and stronger personal security, and controlled borders, and increased morale among the American people with more pride and more respect from abroad, they have a clear choice there in Donald Trump. Trump was an unconventional candidate. He wasn't my candidate originally, but he went through the process, and he fought and he won. He's now my candidate, and he's a great opportunity now for America.
BARTIROMO: Right. But, unfortunately, he's fighting many fronts right now. He's fighting women after those comments, he fighting the media, who is on the side of Hillary Clinton, and he's fighting his own people, the GOP. Did Paul Ryan do the right thing, or should Paul Ryan have stood up and said, yes, I denounce this comments, this was a horrible thing that he said, but here is his economic plan, here's the next four years for the country, and this is what we need to be doing? Or did he do the right thing by just watching his own back and making sure that his reelection -- all the other down ballots go well for him?
NICHOLSON: I think a lot of Paul Ryan. He's a good man, and a good conservative Republican. And you know, he had to make his own decision about that. By the way, he didn't -- he didn't say he wasn't supporting and wouldn't vote for Donald Trump, but he said he was going to go his own way as the head of the Republican caucus in the house and, you know, that's a decision that he had to make. I don't agree with it. I think we'd do better as an old party chairman. I can tell you the benefits of being united versus being split up and divided and splintered, but that's -- that was Paul's call. But, you know, we can still win this thing throughout the ballot. We can win the presidency, and we can hold onto the house and we can hold onto the senate. For God's sakes, if we were to lose the presidency we wouldn't want to give Hillary Clinton a blank check by having a Democrat senate, Democrat house. Look what happened to this country in the first two years of Obama when he had a Democrat senate and house, we're still dealing with, you know, Obamacare and Dodd Frank.
BARTIROMO: Yeah. So then why can't the party just get in line? I mean, frankly, you know, I know I said this story a lot when I was at the DNC, Debby Wasserman Schultz gets pushed out because she was obviously in the tank for Hillary. And she made all these comments about Bernie Sanders, and they were putting all these road blocks in front of him. And we only spoke about -- I mean, it was a huge story. Is the Democratic National Convention and she's the chairman and she gets pushed out on day one. We've only spoke about that story for one day, why? Because all the Democrats got together, and they got in line and said let's turn this story into a story about Russia. And that's exactly what everybody was talking about from then on out. About Russia and this connection, apparently, with Donald Trump which doesn't exist anyway. And yet, the Republicans, they have to stick to their principles. They will not get behind Donald Trump in a big way.
NICHOLSON: Well, you know, the Republicans are Republicans for a reason. They're principled people, a more difficult sell because you're not, you know, talking about giving things away, you're talking about creating opportunities for people to earn their way, and to have a more fulfilling life, and to have a stronger country and more pride and more patriotism. And sometimes that's a difficult sell. Especially, in these days where you have so many people that are down on their luck economically.
BARTIROMO: Right
NICHOLSON: . because of the Obama economic plan for eight years and all they talk about is giving them more, you know, tax credits and more assistance and so forth -- and there's some people that -- some people really need that, but we're the party of opportunity and it works, by the way.
BARTIROMO: Yeah;
NICHOLSON: When we've been in power and we've created more jobs and we've grown the economy, everybody, everybody thrives and that's what Trump stands for and that's what Trump will do.
BARTIROMO: Yeah. Real quick before you go, you're the former secretary of the Veterans Affairs Office, there's no shortage of upsets at the V.A. What's the problem? How come it can't get fixed?
NICHOLSON: The basic problem at the V.A. is that, you know, the secretary of the V.A. is the CEO of the largest health care provider in the United States. He has that responsibility, but he doesn't have the authority that goes with it. He can't hire and fire like a CEO can. He can't transfer assets, he can't close facilities and open facilities, and order people to transfer and go to a hospital or medical center where they have more needs and where they're currently stationed. And the unions, by the way, under Obama have taken a very firm grip over the V.A. And you just saw that in that example of the person who was fired in Chicago. The union stood up for her, she was finally in an arbitration, fired, she lied during the arbitration, three months later she got hired by the V.A. and the Phoenix Hospital.
BARTIROMO: Right.
NICHOLSON: And those are the kind of rights that are baked in there that the union has proposed, and that the V.A. secretary with whom I have great sympathy.
BARTIROMO: Yeah.
NICHOLSON: . because he just doesn't have the authority that he needs with the responsibility that he has and the congress needs to fix that.
BARTIROMO: Understood. Jim Nicholson, good to have you on the program this morning. Thank you so much, sir.
NICHOLSON: Thank you.
BARTIROMO: We will see you soon. Up next, it is a battle of technology titans, what Amazon jump into streaming music means for the likes of Apple and Spotify, that's next. Then, Clinton Campaign pointing fingers at Russia again for the latest WikiLeaks dump. Why Stuart Varney says the mainstream media bias is the real issue in the e-mails. Stay with us.
(COMMERCIAL BREAK)
BARTIROMO: Welcome back. Forty five minutes away from the opening bell. Take a look at where we stand on markets, we are looking at a lower opening for the broader averages today, as that 200 point selloff looks to be continuing this morning. A couple of names we're watching, Amazon is unveiling its on demand music streaming service, taking on heavy hitters like Spotify and Apple music. Amazon music unlimited costs $10 a month. Amazon Echo owners only pay $4. Shares of Alcoa down again this morning after a disappointing earnings report, missing expectations on both the top and the bottom line, earnings and revenue, stock is down 11.5 percent making it one of the biggest one-day decliners in five years. That was the performance yesterday, coming ahead of Alcoa split into two companies, expected to be completed by November 1st. The latest e-mails of Hillary Clinton's chairman John Podesta, the campaign chairman revealing a clear media bias. Stuart Varney, the host of Varney & Co., joins me now to talk more about that. Stu, what do you make of those e-mail.
STUART VARNEY, VARNEY & CO. HOST: It's not just media bias. It's flat-out unprofessional, low-end performance by our established media titans. Did you know that CNBC's John Harwood offered advice to the Clinton campaign? He was a debate moderator. Did you know that the New York Times allowed Hillary Clinton to veto certain quotes, just hand over the writing to Hillary and the campaign. Did you know the Boston Globe coordinated with the Clinton campaign how to put Hillary Clinton on their pages for the best presence in their newspaper. The list goes on and on. It all revealed in Podesta's e-mails about just how penetrating the establishment media was inside the Clinton campaign. They helped it. They are a silent partner, not silent particularly, they're a partner in the Clinton campaign. What a disgrace to American journalism. You hear -- there's nothing about that in the media this morning or very little, very little at all. No, it's all Trump. How bad Trump is. The media hates him so much that they will behave unprofessionally in the extreme from beginning to end, to get their candidate elected. It's a disgrace, Maria.
BARTIROMO: Yeah.
VARNEY: That's what it is.
BARTIROMO: You know, Stuart, at some point this whole period is going to be written down, history will show what went on and how the media did not do their job.
VARNEY: Yes.
BARTIROMO: . and it will be shameful.
VARNEY: It will be. Absolutely shameful, American journalism stands in disgrace at this point. I'm getting hot under the collar. I should tell you, by the way, just moments before I came on with you, seconds before, we had mini Trump on the set with me.
BARTIROMO: No, you didn't, really?
VARNEY: Yes, I did. I've got a picture.
(LAUGHTER)
BARTIROMO: That is great.
VARNEY: That's going out to all the grandchildren, believe me.
BARTIROMO: Should we expect that in ten minutes then on your show, Stu?
VARNEY: I don't know, we've got to say.
BARTIROMO: Oh, a little tease.
VARNEY: Yes, we'll shall see.
BARTIROMO: We'll see you in ten minutes, Stu.
VARNEY: Sure thing, Maria.
BARTIROMO: Thanks so much. Varney & Co., begins every day at 9 AM Eastern, right after Mornings With Maria. Join Stuart, coming up the next ten minutes. From hover boards to smartphones, some of the hottest devices of the year are a serious fire hazard, why the batteries may be to blame for these dangers. Back in a minute.
(COMMERCIAL BREAK)
BARTIROMO: Welcome back. Samsung announcing that the production of the Galaxy Note 7 has been suspended permanently, this after recalling 2.5 million devices after reports of explosions and issuing replacements that were unable to cure the dangerous problem. The scandal could cost the company now more than $2 billion in profits. That could worsen. The lithium ion batteries in these devices is likely the culprit. Joining us right now is Mashable Technology editor, Pete Pachal. Pete, good to see you.
PETE PACHAL, MASHABLE TECHNOLOGY EDITOR: Good to see you.
BARTIROMO: Thank you so much. OK, we have the Galaxy Note 7, and you've got hover boards, e-cigarettes, all these things have one thing in common, the lithium battery, right?
PACHAL: Yeah. They are the batteries -- but looking on batteries on virtually all of our gadgets they -- the vast majority of them are safe. And this is one -- one of those strange cases, where it appears -- and they still honestly don't know the problem. But there's some kind of defect either in the battery or the design of the phone itself that causes in some cases these things to catch fire. But, I mean, as since -- now we have a second recall, they skip up, they had fix the problem, and now they're recalling them again. Clearly, they're still figuring out what exactly is the problem.
BARTIROMO: Can I just say -- I should know this, but this one, the Apple does not have the lithium?
PACHAL: It does.
BARTIROMO: Yeah.
PACHAL: No, also phones.
BARTIROMO: Also phones.
PACHAL: . today use the lithium ion batteries.
BARTIROMO: So how come it's only the Samsung phone having this problem, because that's a really high energy ones?
PACHAL: Right. Well, no, to some extent, yes. We have every year the phones tend to get thinner, then tend to pack more energy in because we demand more and the chemistry changes slightly. But that doesn't seem to be the problem here. What it looks like it's happened and I don't know. I mean, I don't think Samsung knows, is that there is some kind of inherent design flaw with not necessarily just the battery or just the phone, but with how everything interacts within the phone. They're still investigating, which is why they've basically killed the product now. But it's a thing that can happen to any battery. Any battery can explode. But, up until now, these have been usually outliers, like someone charges a phone with a third party cord from China that doesn't meet the same.
BARTIROMO: Yeah.
PACHAL: . regulatory problems. So, like, this has happened before just not on the scale with a single product.
DAGEN MCDOWELL, FOX BUSINESS NETWORK: Isn't it astonishing and a little bit frightening that Samsung didn't anticipate this problem during the design process and during the quality testing? I mean, does that -- its breath taking, quite frankly.
PACHAL: Well, according to reports they've been trying to replicate the problem on their own since it first started happening, and they haven't been able to. So, what they've had to do -- this is, you know, I'm not sure of the internal workings of Samsung, but I believe they basically made assumptions on where -- they have two battery suppliers for this phone, and they thought, well, this one supplier seems and it seems to be the problem. Let's stop those and just go with the other one. They did that, didn't work. We still had the problem.
BARTIROMO: This were the replacement phone.
PACHAL: I suspect it's a very complex problem with both the battery, and the phone and the design, and used it in certain situations, but we'll have to wait and see. And what I think that needs to happen for Samsung to regain trust is to come completely clean. This is a notoriously secretive company and they're very bad at communicating usually. So, I mean, this case if we're going to look at the Galaxy S8, which presumably will come out in a few months, with anything other than suspicious, they need to completely come clean about this.
BARTIROMO: Look, the half a million hover boards were recalled in July. They were exploding. And then the government said between 2009 and '16, there were 134 incidents of e-cigarettes overheating and exploding or catching fire.
MCDOWELL: Junk devices, like hover boards junkier than -- $800 cell phone.
PACHAL: There's also fairly new category of products. I mean, like hover boards were brand new, and overnight like many companies sprouted up like selling hover boards before underwriters laboratories and other sort of regulatory bodies could even have a chance to try these things out. So, hover boards is kind of a very weird unique case, also because it's not does it have a huge battery, it's a thing you're actually physically punishing, you know, you're jumping around on this thing. So, I think, that was very much a perfect storm of a crisis. And now, apparently, they're safer, but now it looks like the hover board was kind of a fad anyway, so I don't know.
BARTIROMO: Yeah.
PACHAL: What difference that is going to make.
TAYA KYLE: Can I see this? Like, I'm always late to the game with technology, but I feel like I'm justified now, because if you try new technology it could blow up in your face.
(LAUGHTER)
PACHAL: It could really burn you.
(CROSSTALK)
BARTIROMO: You keep that flip phone.
PACHAL: Well, phones in particular because not only are we packing in more energy and now we're asking for waterproof this in it. It's like the new iPhone is waterproof. What this does it creates a pressurized environment inside the phone.
BARTIROMO: Great.
PACHAL: Which, again, if you design your batteries right, you design your phones right, everything will be OK. But one mistake could now be even more catastrophic than it was 5 years ago.
MCDOWELL: My seven is getting delivered today, so awesome. It won't explode.
BARTIROMO: Great, really good stuff. Pete, thank you.
PACHAL: My pleasure.
BARTIROMO: Pete Pachal, Mashable there. Final thoughts from our all-star panel after this short break.
(COMMERCIAL BREAK)
BARTIROMO: Final thoughts from our all-star panel, Taya Kyle.
KYLE: I think I need to get on board with technology, but I still should be little bit reserves because like we've talked about these things can hurt you. And with the election, I just think it's disturbing on so many levels, there's a lot of hypocrisy and I think we should need to dig a little deeper.
BARTIROMO: Peter Kiernan.
PETER KIERNAN, KIERNAN VENTURES CEO: We've been on the set with heroes and people who made great sacrifices so that we could vote. I think everyone should get out and vote.
BARTIROMO: Get out and vote, Dagen.
MCDOWELL: And my final word is amen.
BARTIROMO: All right, we'll leave it there. Thanks everybody, great show, Peter Kiernan, Dagen McDowell, Taya Kyle. Thank you so much. That will do it for us. We'll see you tomorrow. "VARNEY & CO." begins now, over to you, Stuart.
END
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(Show: MORNINGS WITH MARIA) (Date: October 12, 2016) (Time: 07:00:00) (Tran: 101202cb.231) (Type: SHOW) (Head: GOP Divided; Trump Lashes Out at Republican Party) (Sect: News; Domestic)
(Byline: Maria Bartiromo, Dagen McDowell, Ed Rollins, Dagen McDowell, Cheryl Casone )
(Guest: Peter Kiernan, Taya Kyle, Taya Kyle, Peter Kiernan, Curt Schilling, Greg Davis-Keen )
(Spec: Politics; Congress; Paul Ryan; Elections; Stock Markets; Policies)
(COMMERCIAL BREAK)
MARIA BARTIROMO, FBN ANCHOR: Welcome back. Good Wednesday morning everybody. I'm Maria Bartiromo. Thanks for joining us. It is Wednesday, October 12th.
Your top stories right now at 7:00 a.m. on the East Coast.
The battleground blitz continues. Donald Trump will campaign in the all- important swing state of Florida today while Hillary Clinton will stump in Colorado.
Yesterday Trump slammed Paul Ryan, John McCain and disloyal Republicans.
(BEGIN VIDEO CLIP)
DONALD TRUMP (R), PRESIDENTIAL NOMINEE: The shackles are some of the establishment people that are weak and ineffective people within the Republican Party. Senators and others and Paul Ryan -- led to a certain extent by Paul Ryan.
(CROSSTALK)
TRUMP: They were all being nasty to the nominee.
I think I'm better off maybe without their support, if you want to know the truth.
(END VIDEO CLIP)
BARTIROMO: Meanwhile a new national poll has Clinton leading Trump by nine points. We are live with the latest from the campaign trail coming up.
Plus less clowning around for Ronald MacDonald. The MacDonald's will limit appearances due to those creepy clown scares around the country. The details coming up.
And a major dog food recall to tell you about -- the choking hazard coming up. You'll want to hear this one.
Plus live the luxurious life for free. We've got tips and tricks to earn airline miles that will completely pay for your next five-star vacation. Yes, we want to know that -- that's coming up.
Markets this morning under some selling pressure once again. We're expecting a slightly lower opening for the broader averages on top of big selloff yesterday. Investors are waiting for the release of the FOMC minutes - that's due later this afternoon.
But, of course, we have kicked off the third-quarter earnings reporting season. Interestingly S&P 500 says 80 percent of the few companies that have already reported are actually better than expected and yet the glaring one was Alcoa, which was weaker than expected and that set the tone for markets yesterday.
In Europe, stocks are searching for direction, fractionally lower right now, it's just a fraction but we are looking at a pretty good negative trend.
In Asia overnight markets were mostly lower. The Nikkei average led the losses, down better than 1 percent.
The power of prayer -- Tim Tebow is being hailed a hero this morning for saving a man who was having a seizure. We will tell you what happened coming up.
All those stories this morning coming up.
And joining me to talk about it is Fox Business Network's Dagen McDowell, former Goldman Sachs partner and Trump supporter Peter Kiernan with us, and the author of "American Wife" widow of Navy Seal Chris Kyle and Fox News contributor Taya Kyle with us. Great show so far -- Taya.
Thanks for being here. Good morning.
DAGEN MCDOWELL, FBN HOST: And one of my favorite people walking on planet earth is waiting in the wings. I can't wait.
BARTIROMO: That's right. We have a lot to --
MCDOWELL: He's a regular on Maria's Fox News show too. Every morning --
BARTIROMO: Right. And he's going to join the conversation coming up.