• This is a rush transcript from "Your World With Neil Cavuto," July 2, 2010. This copy may not be in its final form and may be updated.

    STUART VARNEY, GUEST HOST: One hundred and twenty-five thousand jobs

    wiped out, but don`t get down and out.


    PRESIDENT BARACK OBAMA: Now, make no mistake. We`re headed in the right direction.


    VARNEY:  Are we? Well, welcome, everyone. I`m Stuart Varney, in for Neil Cavuto. This

    is "Your World."

    And if fears for a double-dip recession weren`t heightened before,

    they are now, the labor market losing another 125,000 jobs last month, the

    jobless rate dropping two notches, as 652,000 people simply stopped looking

    for jobs. In all, more than 3 million jobs have been wiped out since

    the president took office.

    Wall Street`s clearly troubled, the Dow diving over 400 points this


    My next guest says double-dip recession, here we come.

    Craig Smith is CEO of Swiss America.

    Craig, are you absolutely — are you saying flat-out, set in stone,

    here comes another recession?


    Stuart. No mistake about it, to quote Mr. Obama. We`re heading into the

    wrong direction.

    All you have to do, Stuart, is look at bond rates. We`re below three

    percent, got corporate — corporate balance sheets are stuffed with cash.

    They see a slowdown coming. The consumer is deleveraging. Unemployment is

    still high.

    How in the world can this president say that we`re headed in the right


    VARNEY:  Well...

    SMITH:  Everybody knows, if you look at the data, we`re heading for a


    VARNEY:  I`m not going to put words into the president`s mouth, but he

    could point to the 600,000 new private sector jobs created in the last six

    months. That is, as he would put it, a step in the right direction.

    SMITH:  Well, Stuart, but I`m suspect of those numbers to begin with.

    I mean, you know, this president wants to create or save or — I mean,

    the jargon is getting ridiculous. Let`s look at just the data, Stuart. If

    you look at the manufacturing number, it dropped 1.4 percent. If you look

    at consumer confidence, eight percent of the people think that business is

    good. Four percent believe that jobs are plentiful.