coming up tomorrow, do ou love wine? if you do, we have a story on how to turn your love of wine into big bucks. see you tomorrow. lou: good evening, everybody, thank you for being with us. deadly violence in the streets of cairo today and more violence is expected as the military shuts down demonstrations supporting mohammed morsi. president obama tonightppears to be assuming the role of the great appeaser in the middle east. in northern africa, it seems to negotiating the interest of our allies with the taliban and supporting groups affiliated in syria and the muslim brotherhood's desire for a significant if not dominant role

in the egyptian government. we will be exploring and examining a clear advance of al qaeda throughout the region, the degree to which the obama foforeign policy is responsible. whether this administration can now successfully play a constructive role in support of egyps secular military and the shaping of a new democratic government with or without the slim brtherhood. our foreign-policy expert will take on the issue of why mr. mohammed morsi it wants this despite the objections and other elements of the governing coalition. this is where things stand in egypt. the interim government after the military removal of mohammed morsi ad against the crackdown on muslim brotherhood demonstrators today and it laid deadly violent fashion.

military police are declaring supporters from demonstrators in cairo that have been virtually nonstop since his removal from office on july 3. bulldozers and tanks and helicopters and soldiers and over 200 civilians, government reporting that at least 49 police have been killed by a mohammed morsi supporters that have stormed this around cairo. entire neighborhoods falling into battle lines around neighbors on opposite sides of the political confrontation. egypt's interim president declaring a month-long state of emergency along with a curfew for cairo and the surrounding provinces. ordering the military and police to restore law and order a to protect state facilities. the vice president has

withdrawn. resigning after the bloodshed, telling him that it has bome difficult for me to continu bearing responsibility for decisions i do not agree with and whose consequences i fear. new sources on the ground report that he had clashed repeatedly with egypt's military over the standoff with the brotherhood supporters. the president today silent on the matter as he continues his vacation on martha's vineyard. press secretary josh earnest is condemning the attacks before secretary of state john kerry made this remark. including the leader of choice, mohammed morsi. >> these events are deplorable. and they run counter to egyptian aspirations for peace and

genuine democracy. egyptians inside and outside of the government need to take a step back. reporter: this as the obama state department refuses to claim that egypt is embroiled in a civil war or that the military takeover could be described as a coup. we are looking at administration but still has not defined what has happened in a foreign nation over month ago since the president was removed from office. or how they plan, for that matter, to preserve american interests in that region and nation. chief washington correspondent james rosen has the report. reporter: u.s. officials say these officials firing on

otesters again, that raised the specter of civil war in the most popular arab nation, america's top diplomat in a hastily arranged appearance once again urged all parties to seize fire and resume dialogue. >> it is possible, though it has been made uch harder, much more complicated by the events of today. reporter: susan rice has been briefing president obama during his vacation on martha's vineyard. his spokesman was pressed on whether they don't make it gently clear that the military has staged a coup d'état in egypt. and they have danced around it like that dancing a fred astaire. >> it has been determined by

senior foreign policy officials in this administratio did not make a determination. >> we looked at our legal requirements to determine that wewere not reqred to make a determination. including what is the impact on national security. >> they have failed this as misguided with disastrous effects. chaos and cairo, secretary john kerry praising the military did not help. >> from benghazi to cairo, obama's foreign policy is not working, but it is literally an inflad and if we lose egypt cannot imagine what this will look like.

lou: it was quick to fram the fort hood massacre as workplace violence it would not describe truths truthfully the reality on the ground around the world and in particularly fort hood. >> this is the secular revolution, joining us is judith

miller. good to have those of our guests here today. is this a gvernment that is having its way and is it firmly establishing this order isn't on the edge of outright rebellion? >> i think the government which has the majority of the egyptian people is actually pushed by the egyptian people. >> they are pushed, the egyptian people want to the muslim brotherhood to get out of the street. thy had had it with mohammed morsi and the muslim brotherhood and they wanted the egyptian military to take charge and

restored egypt's egypt and a sweater that is is why they are having such a difficult time findg a voice. lou: honestly i see it more than just difficult. it is still conflicted in its statements, sending senator graham and senator mccain to support the inclusion of the muslim brotherhoo so that the other will once are part of this. >> we have made it clear. but there are many decision-makers both with the legislative branches in the city who think that counts. it is partof the war on terror. what happened today they have

been feeding all the other jihadist and even more. so the army listens to what they have said. it is a militia that is controlling this. lou: by this administration supportg us.

>> they are starting to wage this cherish them that they have waged throughout the middle east. the only way to do that is to get them to include them in some way shape or form. >> that message egyptian brotherhood participation. leaders the secular military including this. is preposterous on its need and their idea about avoiding a guerrilla warwith the muslim brotherhood is to put them in a significant role within the

governing coalition. >> i think as long as the military is calling the shots, you can afford to have som participation without military civilian control. lou: we are talking about an organization that we have seen substantial things. >> many advisers have been advising the administration and outside the administrationof the muslim brotherhood or naïve people and events bring them to the government and once they are out of the government they will be very nice. that is not t case. when they can do as much as they can from the agenda when they have the entire government as mohammed morsi had done. he deded to create the foundation it is to reform and

do any type of thing like gorbachev did with the communist party. lou: aain, stepping back and stepping out. what in the world -- what is his role? it ishis politics and future. >> the man that won the nobel peace prize can hardly sit back and watch hundreds of his people be slaughtered. >> do you thi these people will be part of this? >> he was in favor of letting this be done in a kinder and gentler way.

i think that we have seen the results as well. >> it's very important to us because we have been seeing him on many networks. there are 500 guys with phd's, very smart agendas. you know, they dismiss the whole issue. we are moving forward. so he is afraid to step down and come back and the process will be terrifying. lou: we apreciate your insight so much. stay with us, we are coming right back. the nation still does not know

what president obama was doing the night of the benghazi attacks. we can hope that our commander commander-in-chief was not doing the same thing as he did the night osama bin laden was (horn, ding, ding) how long have i had my car insurance? i don't know, eight, ten years. i uldn't tell ya' but things were a lot less expeive back then. if you're 50 or over you should take a new look at your auto insurance. you may be overpaying. actually that makes a lot of sense. old policy. old rates. and thanks to your experience behind the wheel, you might save $350 by switching to the aarp auto insurance program from the hartford. plus, you'll get benefits that reward your driving record,

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lou: new revelations today on what the psident was doing during the raid in which osama bin laden was killed by a navy s.e.a.l.

>> most people were i the situation in the play, i can't tch, this kind of thing and the troops were risking their lives and they were playing.

>> i was right there in our commander control center. so thatwe can make whatever decisions we need to make so we can allocatedditional resources. if we had more than a third of our unit hat was involved in an operation, i wen out with that element to be a part of that mission. because i felt that that was what i needed to be. we understand the commander-in-chief during one of the most daring raids, zero illumination, if according to him is correct, he will be wanting to make a decision at any point in time. lou: are you surprised?

>> i expect a little more out of the commander-in-chief. >> let's be very onest. the bar has been lowered so that he can do what he pleases. when you look at what what has gone on in syria. i would not be comfortable and myself the american people, escially those who have loved ones in these combat zones.

>> this story that is now being reported that we have taken up as well on this broadcast, one of the whistleblowers in benghazi. that we are intelligent about, the operators do not know where those 400 missiles are. how much credence to give to those statements and do you think that that is part of the reason that this administration has been stonewalling for more than 11 months on benghazi?

it allowed him to be attacked. so yes, i am concerned that this is part of qadhafi's stockpile of weapons that maybe we had collected. work somehow weere tunneling into the rebel forces in libya. i think that is why we need the select committee. the investigation is being spread across five different congressional committees. lou: as we wrap up here, we will receive comprehensive immigration reform as envisione by the senate. that is the gain of eight bill which has been pronounced dead at ben the house.

will we see comprehensive immigration reform and the result from not showing us. >> we need to tangibly show that we are serious about enforcing our laws and border security. and you are an economic expert and we knw that this economy is quite artificial. we are not out of this recovery. the unemployment situation in america is apparen. we cannot put the american workers secondr third in line while we grant this path to citizenship for these are people who have disrespected our laws. lou: it is good to talk to you.

we look forward to talking with you again soon. lou: coming up next, i don't know what itis about these federal reserve bank presidents, but they just have to talk about it. the dow jones falling 113-point committee s&p dow nine. apple shares up nearly 2% on the day after a billionaire carl ichan, reportedly worth $1.5 billion pushing apple to raise its buyback. at this rate it will be tougher because the price is fine. this incdes the days leading up to that. up nex the republican national committee, holding it's annual summer meeting. we will show you why the slogan they chose, much like the name

they use with what happened in the 2012 presidenal election was clearly a poor choice of words. words. we are coming right join us at projectluna.com words. we are coming right

lou: the republican national committee caking of it and exciting meeting in boston with their theme, making it happen. let me try it again. do you feel it? making it happen. highlighting the progress since the autopsy of what happened in the 2012 presidential election. their words, not mine. how is that for a clever word? so exactly were you doing to make it happen? using your improving coordination with state parties. that sounds exciting an increase seeing boots on the ground i love that cliche but 37 percent, 37 percent identify currently as republican a number that hasn't changed over the last two presidential elections

would you think that would including growing party membership? you haven't told anybody what the membership is you have not even set a goal or identified the states where you go into white those democrats out. then you say you launch the initiative of the rising stars then suddenlyocus on newt gingrich, new jersey governor christie who by the way held more than governor romney in the last election and apparently he was not invited. scott -- scott brown? gabriel gomez alsoa good guy they lost the last election what is the message? tell us rnc in what about senator mccain's manifest disdain for your party? instead of the house bill

going on missions for president obama. over senator graham where was he? is that the way to make it happen, republicans? but those autopsies to maae it happen to talk about the future of the party. trust me. rand paul a. end of marco rubio what about the governor jim dolled rising star? the performance power and making it happen the what you are actually accomplishing as a party, let's talk about your membership be and your goals has been for months now breathing newled the

life into a morbid political party and should be asking every day we wre doing how you're doing and how he wil make it happen. how about something little less distracted? because winning is what it is all about. put it here. victory 21 '04. that is the message by the way then 2016 just bring it down. that is what it is all about. lou: did leave violence with a failed state nearing reality. former u.s. attorney in drew mccarthy joins us next.

lou: joining me now former federal prosecutor andrew mccarthy wedding the successful world trade center bombers in 1993 also author of the great jihad. this is a clear success for the secular, military with the egyptian military it should be the administration there should be some remorse and their tone they seem a dour. >> they have been the biggest backers of the muslim brotherhood from the beginning of the administration it goes back to the first hrs of did ministration the musl

brotherhood taking the rest of egypt into flames with it is not something that does credit to the above it frustration leave that wou bring the muslim brotherhood into have vague reconciliation government that will satisfy them. havehey been watching over the last 80 months they just want to get their hands on power to turn the state into sharia state and to thank you do anything differently? lou: a disaster for this administration in egypt and secretary of state carry trying to put a good face on it. with a peaceful transition i think but absolutely their ally clearly stated was mohammad morsi of the muslim brotherhood.

so as horrible judgment as that has been reluctant the other side with secretary of state john kerry doing something that hillary clinton could not do fear of her tenure she has palestinians and israelis with the negotiation. >> to get to that for the peace process they put pressure to release terrorist many that are homicidal maniacs. lou: and judgment by netanyahu he made that whether under pressure or otherwise do theyt least not have to get to that point? >> i don't think any process that calls itself the peace process by releasing terrorism -- terrorist is authentic. says this is the same tune we hea for 20 years.

>> now cars i -- the man who died in in the first instance what is the possibility. >> but car's side not so long ago suggested maybe all marked come back to run for president but if you indulge the fantasy that popular elections kiddie'' democracy without a democratic culre in we will run with that i think we will find is the islamic supremacist will ruled the islamic countries if we want to enable that it is the loss of our influence did we see that country ter country. lou: a continued to ammunition to shake that if it is even appropriate as

such a policy should have in the middle east. >> you empower your own enemies it is your own and doing. lo thank you for being with us andrew mccarthy. thank you for your insight. of market -- a major market sell-off despite pretty good econic reports. our chief economist tells us why the fed keeps talking about tapering. do they believe know so little about economics and the fed? we w the boys used double miles from their capital one venture card to fly home for the big family reunion. you must be garth's father? hello. mother. mother! traveling is easy with the venture card because you can any airline anytime. two wds. double miles! this guy can act. wanna play dodge rock? oh, you guys! and with double miles you can actuay use, you never miss the fun.

beard growing contest and go! ♪ win! what's in your wallet?

win! a quarter million tweeters is beare tweeting. and 900 million dollars are changing hands online. that's why hp built a new kind of server. one that's 80% smaller. uses 89% less energy. and costs 77% less. it's called hp moonshot. and it's giving the internet the room it needs to grow. this&is gonna be big. hp moonshot. it's time to build a better enterprise. together lou: by next guest says the stock market has gone from being undervalued to overvalued by 10 pernt this summer that this does sound like good news to me. what do you think? john? >> alliance saying is over

the past year we have had equity prices rising by 24 percent while at the same time profits have grown by less than 4% that is what leads to the conclusion equities a overvalued. lou: therefore very susceptible to a sell-off. >> especially ithcontext of the rising bond yields that is a dangerous mix. lou: that does not just a just everything is okay over there and so i am not sure how to follow this up. >> everyone has come to the conclusion the federal rve will begin to wind down quantitative easing. lou: no, no, no. [laughter] >> and to help keep the bond yields lower even though they are still stock with the worst economic recovery since the second world war.

housing sector stock price since the middle of may came into py those are down 19% but what is going on with housing stock prices is a boarding -- warning against the bank presidents. lou: all the district's most recently say lewis president saying it warned about tapering i am so sick of hearing about tapering. it is car bernanke has said 6.5% unemployment. he said inflation target to or 2.5% in we will not do it until we got it and they keep talking nonsense often contradicting and all of these nervous nellies who are running major hedge funds.

>> the point of leadership is to get rid of chaos to give direction to investors. lou: bernanke must have decided he will watch the nonsense as he moves to the end of his term. >> unfortunately he is running the fed like it is a faculty lounge everybody has their own opinion with the economy and interest rates and because of this, there is a great deal of confusion in the marketplace. so i think it is best if investorsf we cannot get participation by middle-class households with a four .4%, of what will happen if that approaches five%? lou: there is another

question. lead to a more positive outlook, if the economy and market is doing this well with this quality of leadership and these kinds of leaders in the federal reserve, what a powerful potential briefcase for this econom great times lie ahead. >> that is assuming all the leadership problems are concentrated in washington unfortunately there may be shortfalls. >> i will take that in this environment. keep it going. >> and that earnings continue to grow is the important thing. lou: right there. i appreciate it. up next jesse jackson, jr.

goes in opposite directions we will take that up with

lou: joining me now is the "a team." monica, is this a when for the secular military? >> no. john kerry secretary of state cave now with the strong statement of condemnation that i bet the egyptian militarys shaking in their boots once again on the wrong side they are doing the right thing as the egyptian military. lou: but those threats to withdraw a it seem there is

the appearance of support of the good guys. >> the pattern is disturbing it is a passivity. pick a side. [laughter] haveome idea of this whole time since the coup that we do not dare call a coup but the biggest asian has not tried to broker anything we see the same thing with syria or libya but the america's standing pat not playing the game i think is a mistake. lou: i'll also agree with your point but i feel strongly i would rather have passivity rather than aggressive ignorance. i will go with passivity. [laughter] >> i do see your point. >> and president obama said

playing 15 games of spades and i get so confused with spades or parts one of the very elevated games while the military is risking their lives to killed osama bin not been. >> another disturbing pattern. ab bills were in harm' way with the ultimate of all fishes to killed number one enemy osama bin laden and the president goes to play 15 games of spades? he is still a human being he did not want to watch in realtime he is the commander-in-chief of the med forces and also calls intouestion what he was doing on the night of september 11th last year when americans were also in harm's way we still have no report to what he was doing. lou: spade or a cards?

>> put on either o because we have no idea. >> i believe he went to sleep during the up and gauzy raid. that is the testimony from leon panetta before the senate when asked faugh by lindsay gramm did you go to bet? to the jointhairman go to bet? no. to the presidident go to sleep? item no. the president did not talk to anybody that night i believe he went to sleep. >> except hillary clinton he had attended a phone call with her after 10:00 p.m. then radio silence rom all of them. lou: turning to see diego it is probably a surge -- absurd scooter's the beginning of the mayor. i don't know when does it become the arbiter of

standards? it is peculiar. this is done is to recognize as we have political differences it is imperative for people to have standards the mayor of san diego will not be served in this establishment and women should be treated with respect. >> it really is he is a complete pig and went to sexual rehab now claims he is somehow cured of his bad behavior. >> debate private assessment can do whatever they want but the souders say they demand respect for women when they have scantily clad female waitresses. lou: respectfully? >> this is the cheapest and smartest advertising campaign. [laughter] lou: i was way too elevated

to take note of its. a berthing controversy with ted cruz, borin canada to the american citizen mother, a cuban father now those including ann coulter says it raises questions. wh do you think? >> it is all about natural born citizen and what does that mean? he is completely legitimate and complete the in the clear to run for the presidency of the united states. >> he is in the clear vital figure will be president. lou: i like him. >> so do i.. i don't dinkey will be president. lou: then who will be president? >> not ted cruz civic i think itis chris christie against hillary clinton. lou: do you really? >> that is a showstopper. odyssey make it through the republican primary process?

>> i don't think he is a problem with pro-life. lou:. >> he has no problems. >> he has no problems. [laughter]

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