locations. reports of gunfire and explosions. cookies are not lone wolf attacks. the shooters are attached to organized groups. a mass casualty attack in europe or america is evident. the stock market is selling off. today, president obama will offer students two years of community college free. how about that. varney and company is about to begin. ♪ stuart: let's bring you the latest from france.

the two suspects, they are holed up in a factory about 20 miles north of paris. they do have one hostage. reports of gunfire and an explosion at that site north of paris. essentially, france is shut down. they said they want to die as martyrs. two suspects have taken suspects. the guy in that delhi is threatening to kill the hostages if the police storm the terrorist brothers out the fact

three. police have ordered all stores in paris is jewish neighborhood closed. an attack is imminent. either in europe or america. to the markets. maybe they were spooked. look at what we've got. down 166 points. it could be that the terror threat is off. the major averages are now down for the year. much more on this in a year. always good to have you with us. especially on a day like this. when the terrorist attack that magazine and paris, they won.

update us today. are they still winning? two additional gunmen. four people are keeping the global media hostage. it is amazing. they had made us all accomplices. nothing we can do about it. they may be cornered with beer hostages. >> i think that they are doing exactly that colonel. all of the video of the french army and police force tied down

for three days. >> i say that they are is incitement for wannabes. i would not be surprised if we see amateur hour one of the attacks. again, they are just winning. we do not know what to do about it. we let this problem foster for too long. we have empowered the bad guys. look at the timing of the attack. they did that with a new the crème de la crème of the

terrorist forces are not the terrorist. stuart: on the screen, screen left, you can see smoke coming up. another explosion. the second we have seen in the past 30-40 seconds. the police are conducting an assault. you can see it in progress. >> the french have kept the media at a distance. >> france does not have a dead penalty.

right now everyone is excited about this. we are playing into their hands. we have given them a global platform. >> we have a stock market selloff at the moment. >> any western society is honorable to domestic terror.

am i exaggerating the situation here? >> we must be fair and just. the locals did not want muslims to immigrate. him him by and large with the exception a very different breed. it is amazing how few attacks we have had. we have bad apples. of course we do. overall, we have the educated

muslims. while we must be vigilant and we have to crack down we have to stop pandering to the worst elements in the american muslim community. let's not crack down -- they are doing okay. >> thank you very much for joining us. we saw to explosions and some smoke. this is that the location just north. police have mounted an assault on the printing plant where the two brothers are holed up.

you did see to explosions. it looks like the french media is active. take a look at the big board. the spreading threat of domestic terrorists around the western world. the game was back on for wall street. our intelligence officials are not disputing what he said. al qaeda is plotting attacks against the west. you have this type of rhetoric. remember, we have been through terror before.

now, we have to be careful. we do not want to make a quick trade, make a quick sell. i do think in part it is what you are seeing. that would be a market positive. we do not have that. again, another type of thinking that is probably going on in and investor trader mind. >> the situation is unfolding. the ap reports that the french swat team is on the roof of the buildings near to that printing plant where the brothers are held up. to explosions that we solve.

we are told that the assault is taking place. one of the factors is this terror threat. >> we have several hours to go. more and more call coming from either intelligence officials whether we get more information. how quick was this group? more details emerge.

>> taking over by a gunman and his girlfriend. the police have closed stores in that area. this is a kosher deli. anti-semitism is on the rise in france. stuart: i do not want -- i think america is just as vulnerable.

what measures have we taken? >> there was another statement earlier today. he says, he will shoot his hostages. he will shoot them, he says, if the police attack his colleagues. now, they have been attacked. the french authorities have gone after the brothers. we ourselves have seen the to explosions. the guy that they saw the guy

in that kosher deli has said he will kill the hostages if they attack his colleagues. >> i do not think the french authorities are doing anything at the warehouse where these two guys were. they could have held out and had discussions. they could have done a lot of things. the fact that they took action against them tells me that for some reason they thought the hostages life was in threatened. we will see what happens. the real issue, if indeed, this was a successful event that warehouse is out by itself.

a lot more easy for them to get around and focus on and use as a target. >> we have the stock market selling off a little bit more. i know you are not a financial analyst. what i do want to do is bring in what the fire chief said. he says that a mass casualty attack is imminent. are these guys reliable? >> here is the difference between a terrorist attack and a mass casualty attack. those are two really different things. him take note of the fact that right after these two guys were identified, the shooters, seven or eight of their friends were picked up.

some of those friends may have been a party to something bigger. i am him a bit more concerned about isis right now who has not done anything yet. a big visible entity with lots of money. lots of people. stuart: sky news is reporting for explosions near that deli in the center of paris. it looks like you are right. they have gone after the guy and his girlfriend. you are right. the two are very much linked. >> they deserve a lot of credit. apparently these two guys they

were on the radar screen for a while. that is a wake-up call to all of us. here in the united states people have been to syria or iraq. when you get them under surveillance, they come back. you have to get on them and stay on them all the time. we need to have new laws. those people need to be immediately charged with some kind of crime. stuart: do you think that this administration is going to do that? >> i hope we would stuart. we may not even be quite ready to call this a terrorist incident. the fact of the matter is, there will have to be changes.

in france, they do not have the death penalty. incidents like this will cause the french public to stand up. stuart: is this a new kind of war where we are extremely vulnerable? am i being too strong on this? >> i do not think it is a new kind of warfare. terrorists have two different things they go after. they go after innocent civilians. they go after government, police or military. i heard ralph peters say earlier and i agree with him completely. we have a large muslim population here in the united states. all of our moslems here, with exception, are good american loving people. happy to be here.

those people have a lot more problems than we do, stuart. on this site, we can certainly see a problem. stuart: i am going to update you on exactly what is happening. i am going to start with that kosher deli in the center of paris. a flash report. we have just received it. we have also heard solid reports that there is gunfire around that deli in central paris. that deli is very interesting. it is a kosher deli. other stores are being closed in that area. the whole concept of anti-feminism comes into play right there.

the attack came literally a few minutes after the police made an assault of the brothers. they are the guy suspected of the shooting at the magazine in paris. we solve the explosions. it is a printing plant, right there. you have to standoffs. both of which may have broken in the past 10-15 minutes. what you are looking at right now is paris. that is close to the kosher deli where the man who shot or says he reportedly shot the policewoman yesterday, he is held up there with his girlfriend. they took hostages. now we hear some of those hostages were seen running away. one more point. the guy in the kosher deli said, if you go after my colleagues

we will shoot a hostage at the deli. very quickly after the assault was made, the police assaulted the kosher deli. hostages seen running away. those are the latest reports. >> i was looking at when the sky news report crossed. the dow actually hit session lows. we are down 205 points right now. down more than 1%. session lows for the dow. stuart: thank you very much. we have police moving into the buildings where the brothers were held up. we have seen the police moving into the factory on screen left. that has been happening as we speak. we know you as a guy that is an

expert on the labor market. you were the former chief of staff. have i got my facts right on that? >> yes. stuart: you have been inside the department of homeland security. what should they be doing right now? >> i think american t that the career professional are doing everything they do every day. stuart: hold on a second. i am very sorry. the two brothers have been killed. they are the brothers. held up in that contain plant north of paris. sky news reporting that they are dead. the police assaulted the printing plant where they were held up. are you satisfied with the

demeanor? the demeanor of this administration as this terrorist situation has unfolded. i just want to know, are you satisfied with our stat? our public stance. >> absolutely not. they have an obligation to americans. speaking with clarity about what we are for and what we are against. you need the confidence in your government into her leadership that we are doing everything possible. when you look at president bush, they gave that clarity. they gave that clarity unequivocally. they did their job to keep america safe. stuart: i am very sorry. i am breaking in yet again. the gunmen at the deli and paris

has been killed. a woman hostage has been freed. that is the latest we have from there. we have three gunmen dead according to reports in france. we are told that the guy who took the hostages in the kosher deli is dead, too. police assaulted both locations within 15 minutes of each other. maybe 10 minutes of each other. we have seen french police officers running into that plant right after two explosions, which we saw live on our screens. you are not happy with the way the administration has presented itself in this situation. >> no. i think the president must speak with clarity that we are for free speech.

this is what we are against. we are against radical terrorist. we need to be definitive. we need to tell american civil servants that the job is honorable work. we should not cast those that keep america safe out on a print and cut them off after 10 years of fighting the war on terror. they have not closed ranks behind them. it is dishonorable the way he has treated the federal employees. especially those charged with keeping america safe. stuart: you know a thing or two about the economy and the markets. what we have now is eight dow

jones industrial average down 200 points. the wider threat to america and the rest of europe. am i stretching if i say that part of this decline on the stock market is because of the imminent threat which we told this to america and the rest of europe. am i stretching? >> i give him that you are. if you feel as though your security is threatened, they will react. this is a moment of clarity. america is safe. this is what we are doing. there is a lack of clarity. that is when you have people that will react. if you look at historical trends market go up and down. i think it is slightly

exacerbated. stuart: we appear to have two dead shooters from the magazine shooting incident. we appear to have one dead shooter in the kosher deli hostage situation. we have hostages released or freed or certainly escaping. that, to me would seem to be good news. it is the threat of other incident that is keeping this market down. again, i just do not want to stretch on a point like this. are you in agreement with me here? >> two types of terrorism that we have been dealing with over and over again. we have two different forms of attacks against our markets. against capitalism. against freedom. this is a very fragile global environment that we are sitting in right now.

investors are global. we think globally. we think about what is happening in the world. no one thinks like that anymore. we are all connect it. stuart: i am sorry i kept on interrupting you all the way through. we appreciate you being with us. thank you very much indeed. i want to bring in congressman bill johnson. are you there sir? >> i am here. stuart: it is a busy day. we appreciate you being here on a busy day like today. public demeanor. >> the enemy is the freedom stuart. the terrorist they are propping at the sense of freedom.

it is america's role in the world. it is america's responsibility to be that guardian of the date of freedom. as our commander in chief, it is his responsibility to speak freely. we need to remain vigilant and determined to about these terrorists out wherever they are and find them before they are able to take such action. we have our heads buried in the sand stuart. >> i have two questions to follow up with. would you favor a more proactive stance going after isis wherever it is in the middle east? would you do that?

>> absolutely. served 26 years in the air force and there are things our special operations forces and our men and women in uniform do today and have done over the years that other countries simply cannot do and i absolutely do believe today is a day we have a stance -- we have to stand strong as a military so i would support that. stuart: would you support stronger laws allowing a surveillance of our domestic population? >> we have to be concerned about the privacy of american citizens and their right to privacy and i also understand having been in the military for 26 years that the bad guys are not going to knock on a door and tell us when they are coming. the al shabaab and announced and if we don't have a strong intelligence apparatus that lets us find them before they find us and commit their evil atrocities

we are behind the power curves. we need a strong surveillance and intelligence apparatus to carry that out. stuart: thank you so much for being with us. i know you are busy, appreciate your presence here today. let me recap what we know so far. police in france have rated both locations where suspected terrorists took hostages. the two gunmen from the attack on the magazine, these guys are did. the whole thing a woman hostage at a print factory outside paris. hostage was freed at that location and also the hostages in the location in paris were taken by those two people, if they have been freed. they were at that culture in delhi. we keep talking about the kosher deli. one of the suspects, the guy screen right, is reported to have been killed. no word on the suspect there or if -- we are told we saw

hostages running away from that delhi. that is what we are told has been seen so the situation at the deli is not at this point nona. the young lady who is seen on the screen a moment ago is the girlfriend of the guy on the right of the screen. he is the guy who we suspect or the french suspect is the man who shot in cold blood the policecoleman yester a war the day before in paris. cheryl: they use dna technology to link that couple on your screen with the brothers. that is how they pieced together science to find out if the connection was being made and the group had been in contact for sometime working together and plotting together an attack in paris which they carried out with some success before today. liz: come on in mike baker, former cia guy.

i suspect he has fired a shot or two maynard. she joins us to comment on what is going on with these hostage situations. welcome to the program. seems to me the french authorities whichever group did this, acted speedily and apparently very well. >> the counterterrorism police, the french intel service, parisian police are very good very capable, well-trained, we do a lot of training together over the years so they are extremely good at this. my concern is what always happens after something like this this armchair quarterbacking the goes on was there an intelligence failure or police failure they should do a hot watch after this, they should look at everything including what degree they have counter surveillance, because they knew it was a concern, a target for al qaeda. so they should be doing that but at the same time we need to

understand you won't prevent everything like this. is not going to be possible so there will be more. stuart: when i came into work this morning i was in very early today the conversation on the street, conversation around me conversation in the elevators showed me there is now genuine concern about another at tak, this time on american soil. i think for the first time the risk profile, our vulnerability has been elevated to the point where everybody is talking about it. do you agree? >> i do but i would say when we talk about potential scenarios 4 attack after 9/11 we spent a lot of time talking about the danger of an attack just like this. a lot of people in counter terrorism and the state and local and federal authority were concerned you could get just this type of attack that was not allocated to the level of 9/11 but would be like this or mumbai

or city type situation. it is not just your luck that we haven't had that on our soil. it has been an awful lot of work but it has been a concern for a long time. stuart: let me update everybody. the two suspects in the charlie hebdo killing a dead. police report they took them out and they then moved into the building and the hostages those two guys were holding a woman, has been free. at the kosher deli in paris, the gunman the guy on the right who reportedly was responsible for shooting the policewoman in cold blood yesterday's is dead. no reports on where his girlfriend, screen left what happened to her. conflicting reports about the hostages in that kosher deli. mike baker, i find one thing troubling here. it was a kosher deli comment the police have closed stores in

that area which is a predominantly jewish area. this stinks' of anti-semitism not on the part of the authorities but on the part of the terrorists, who may have targeted at population within france. >> amedy coulibaly did just happen to find himself in a predominantly jewish community. what he was looking to do was take hostages and use that as leverage to get the brothers freed from what he assumed was a bad situation for them. we don't know. a lot is speculation as to how they were interacting and the timing. we have got to stop getting wrapped around the axle over semantics and try to put each attack into a little box and save this was a lone wolf and this was a psychotic and this was a criminal who didn't get

enough hugs. all of these things whether we are talking these attacks or the attacks in sydney the issue in new york, they are all the same result of muslim extremists working hard over the years and having a great deal of success because of isis's success to recruit people in the west to carry out attacks like this. the big issue now is it is not just enough for them they have been calling come to iraq or afghanistan, join the fight and the big issue is we don't care where you are, join the fight and they have been sending their people back from treaty and airtime in isis this is a metamorphosis, nothing static with the muslim extremist world, they keep adapting. stuart: big day, thanks for joining us, appreciate it. we were down about 200 points and now we are down 177 points. cheryl: we are backing off, the dow has been stabilizing, a

couple key points you were speaking with mike baker, that suspect, one of the brothers, and by u.s. intelligence forces to yemen, he traveled to yemen and had direct contact with al qaeda training camps. this is why there is fear in the market and we have a bigger story that will is you mentioned earlier could come to the shores of the united states. we will see more of this in paris and london. they want to attack our values and our way of life. i am finding out, charlie at the magazine, they're printing 1 million copies next year 60,000 next week, and million. they are coming back strong. freedom has to at some point karen the ship around don't you think? capitalism as well. stuart: let's look at the big board again please and come into this. why would you hold stocks with the weekend coming if there is any potential for another strike anywhere in europe or america?

that is another reason the dow is down. cheryl: two story line that happening, first is what we are seeing unfold and the breaking news out of paris and north of paris, the other is the jobs report. everyone is very focused on the wage issue from the jobs report that is another negative because we are getting these retail numbers and they are not very good. americans are taking any job, they don't care what their job is and wages are low. consumer activity 75% to 80% of our economy and two negative lines. stuart: let's go to the oil market. 10:00 eastern time, not 90 minutes ago we had oil precipitously dropped. we are at $47.52 i am not sure what the relationship is between the price of crude oil, goings on in the stock market and the terror events in france. i don't know if they are connected but it is worth

reporting that oil, we thought it hit a bottom of $46.47. i don't know if it is the bottom or not but it took a big hit in the last, literally 19 minutes ago, down we go. it is time we brought in haiti have which --katie pavlich. i know youkatie have which --katie pavlich. i know you have done some research here on the background, they were trained in yemen. >>he brothers was linked to yemen by intelligence officials and the bigger context long-term moving forward was what we are talking about in the united states whether we are vulnerable here. you can discount the president's that al qaeda is on the run and are no longer a threat. we are seeing that they are. one of the brothers did train in the ems at least training camps

with al qaeda. in september the president said to fight isis the united states is going to take the successs in yemen and some of the and apply that to fighting isis, and the fbi director a couple months ago admitting we have at least 100 people who leave in united states passports who have gone to iraq and syria, trained and possibly came back. these are issues moving forward and you have to ask the question, and the leadership with the administration, look at what happened at, look what is happening in syria and protecting people. stuart: if they had training in yemen it seems to me these are not guys -- this is organized. this is directed, this is planned. not a couple guys walking down the street who say i don't believe you like this situation and somebody else's dad. it is not like that not lone

wolf acting alone on the street of a sudden deciding to kill somebody. this is organized and that means it poses a bigger threat because bear guys are here. there guys are all over europe. the threat is imminent. >> and all over the united states. you can't discount the fact the fbi director said men who have gone to train with isis who have western passports, united states passports that have not been revoked by the state department have come back to the united states and are being, quote, monitored by government authorities in the u.s. but you have to look at the french government was monitoring all the people involved in the hostage situations today and the charlie hebdo attack this week. one of the brothers had a prior terrorism charge, helping to funnel flight is to syria and iraq which means they are fighting with isis.

they are all connected, and whether as the previous suggest said they will come get training and go back where you are in western countries and carry out these attacks on their ideology, and the administration won't admit this is islamic terrorism. stuart: i want your opinion. of those americans with no have gone over there to fight, and 100 of them. >> the fbi has identified 100. stuart: i want your opinion. what should we do? should we question them, pull them to the police station and have a go at them? some questioning? should we do it at? >> i think we should but in the past couple years tarantellas

and services have their hands tied when it comes to questioning suspected terrorists. the idea that we knew they were going to syria and iraq and coming back and not necessarily being questioned but simply monitored, that is a big problem. the bottom line is we have gotten rid of our intelligence apparatus for that kind of questioning to be happening which is unfortunate. we have seen in france, leads to a lot of bad things and we have to be able to carry out the questioning process and get that information for the intelligence services to do their jobs and keep some save. stuart: hold on for one second. cheryl: two things are happening when it comes to al qaeda and isis, inspiring western civilians, we seen this in australia and we are worried about it now, whether they direct the attack in paris or did they inspire the attack what is the difference? there was an attack and the

point about the passport, paris and london they have problem with dual citizenship passports that we did in the united states. that is why i was not surprised something like this did happen in paris this week. it has been a concern for some time. stuart: in the last 45 minutes police in france have insulted the holdout, the two brothers responsible for the magazine killings are did. two guys on the street they are dead, their brothers, they are gone and hostage they have taken, released not released she escaped, female, and armed. the kosher deli in paris the gunman who took over the kosher deli is dead. the lady on the left, his girlfriend, we don't know what happened to her, nor do we know precisely what happened to those hostages. fox news is reporting that three terror suspects killed, french hostages freed. we got some double barrel good

news here. the bad guys are dead and hostages are released, don't know about unharmed but there released. last word, you want to sum this up from your point of view, you are a millennial. give us the millennial opinion on this. >> the big event for everyone in america especially my generation was september relevance. usama bin laden being killed was a huge victory but it wasn't the end of the war on terror. moments like this remind us this is an ongoing effort, something that has to be kept at bay and the conversation in washington moving forward is really an honest conversation how to move forward with fighting radical islamic terror and i hope the administration does something to make the american people feel safer about what they are going to do to keep this from happening here. stuart: thank you very much. appreciate you being here. come on in, i give you a french pronunciation because you were born and raised in france but you see the light and live in

america and we are pleased to have you. you have information about the muslim community in france. go. >> it is a big community in france, 12% to 15% of the population. the thing that is most important thing to keep in mind is we have had a serious assimilation problem. the government failed to assimilate immigrants and the a grin population is largely muslim and has been a gigantic failure and it has been going on for a long time. stuart: you have 5 or 6 million muslims not assimilated into french culture, the french way of life. i'm told they're not assimilated. now what? >> the problems, the economic problems that face the

immigration population is one that is basically a problem with the overall population. rigid labor market which means very high unemployment. in particular for young and low-skilled people and as it turns out the immigrant population is low-skilled and the second generation and third generation there are a lot of immigrants who are very young. stuart: what are you going to do? you have all these people, they are not employed alienated from french society, they are not going to get jobs tomorrow morning, they won't get many tomorrow morning, they won't assimilate tomorrow morning, yeah and a festering problem in france and i want to know what french politicians will do about it. >> i don't know what they're going to do but the easy steps they need to do our, some of the things they need to do for every one. they need to left all the barriers to actually be able to

get a job. we have this labor market that basically is hard to get a job. and they have to reverse a lot of the policies they put in place the immigrant population low-skilled and young into the suburbs where schools are terrible housing is precarious and unemployment is high. stuart: is france's close to civil unrest between french people who we traditionally think of as french people and muslim immigrants? are we going to see fights between the two side? are we going to see politicians take power in france who want to throw some of those muslims out? >> the relationship for the muslim community is a long lasting one and a complicated one and there are politicians who are calling for addressing

this problem in a way that is very radical. i don't know. the future will tell. we are going to see how the french political system is going to respond to this but i think we shouldn't be -- this is not a new problem. the failure of assimilation of immigrants is one that has basically institutionalized differences. we need to address that. that is one part of the problem the only one i can talk to. stuart: france today is shut down. what happened is the scale of this problem has been escalated knifing quite dramatically. french shutdown, in your open warfare between some french people and muslim immigrants, a total divide of the society and in economy that is close to recession. and a president who is wildly unpopular. i see that as extraordinary

instability. do you? >> there's a lot of instability, you are right. we need to keep in mind though we don't know the scale of the problem whether this is representing something much more rampant in the french population. i can't talk to this because i don't know. you are right. tensions are mounting and they have been mounting for a long time and it has been particularly acute and problematic since the recession in 2007 which as you know, we have talked a lot about it. the economic situation in france is abysmal. some groups in the population have been harassed and hit the hardest and feel disenfranchised. i don't know how hard it is going to respond to this. stuart: will interrupt for one second. the french ambassador to the

united states has just put out a week. i don't have it verbatim but he says the kosher deli has been storm, the gunman is judge, the hostages freed. we said that is a significant success for the french security forces and i think we should say it is a success and put it like that quite flat out. >> i agree. i was very hopeful that the french police could carry this out well. i was worried especially in the deli things would end for me. stuart: is a major success. cheryl: you talking the french economy. we spoke about the 75% tax that became a disaster and was unsuccessful, was supposed to bring all that revenue to the french government, that expires feb. first. the class warfare she is seeing

firsthand in france is part of the discussion of what is he going to do with regard to the tax structure and revenue. they will up security they will be more funding and they don't have in. france is close to recessionary levels. stuart: especially with the muslim immigrant population and -- cheryl: poverty and everything else. i have been watching the markets at 1:54. the last 35 minutes we have come back, 65 points. that is a very strong come back. stuart: thank you very much for being with us today. we are glad to have you with us. she has seen the light and came to america. thanks very much. now we have john playfield. i want to see him on camera. there it is. he is from bermuda, the beach in the background. we like to see you on a day like this because it is snowing in

new york but seriously, we have a market sell-off down 150, we were down 200 points. i have been saying of a possibility of a strike, a terrorist strike in europe or america that possibility is part of the reason for the sell-off. is that a stretch? am i going too far? >> i don't think it is a stretch but it is part of what is going on but what is more important with the jobs number, no wage growth whatsoever, you have a structurally high unemployment in the country and two days of the market rally last couple days you add to that also this terror going on in france right now, and i think all combines together to bring this down fall. stuart: with the weekend coming i would be reluctant to be long on stocks, holding a lot of stocks because there's always the possibility something happens over the weekend in a fluid situation.

that is another negative. >> it is that most of the terror events that happened despite the loss of life which is tragic -- tragic, all of them have been horrific, most of them except for 9/11 have been not long lived. you have seen a market did, the market comes back wheat -- pretty quick. unless you have a major terror event you won't see significant fall of the market. stuart: let's turn to the employment report for a second, 252,000 new jobs unemployment rate team down to 5.6%. that looked good to me but the big deal for you was wages average hourly wages actually came down. >> so many people getting jobs they don't want, part-time jobs, low-paying jobs. the jobs we created, and this is great 200,000 jobs many months in a row, these are good numbers as far as job creation but the jobs themselves the markets are having problems with the we have lost a lot of high-paying jobs

and middle-class jobs in this country and what has replaced them are low-paying jobs. stuart: then again, if that is abaddon element in the jobs report, you would expect the market would go up because it suggests the federal reserve is going to keep interest rates way down forever, therefore the market should have gone up. that is why i am saying that terror aspect is an important aspect in this market sell off. we are down 150 by the way. >> that could be the impetus, a fine balancing act. house lower does the economy have to be for the market to sell off and you have the fed never stop easing. if the market speedup and the fed goes down the easing, you have problems so you have this real goldilocks economy where it is just good enough but not bad enough and that is good for the markets and you added an unknown terrorist elements and problems

in the market. stuart: sorry, i was listening to another report we just received, troubling indeed, the report from reuters suggesting four of the hostages who were seized at the deli in paris have been killed. reuters is forcing the police for authorities for that report. i am going to repeat it. reuters saying police said that four hostages who were taken at the kosher deli have been killed. we know the gunman was killed. we don't know what happened to his girlfriend who took that kosher deli with him but we have this report of four hostages killed. that is a dire thing. cheryl: a report associated press report, police forces from the kosher grocery, five hostages, woman was seen leaving, that is their side of what potentially -- stuart: we know the one woman escaped, we got that in take.

now this report that the other four were killed and it was police who told reuters that four had been killed. that puts on much darker picture on what we thought was a very successful police operation in getting this through. i got to say goodbye to you. thank you for joining us. glad you could take time out today, appreciate you being with us today. until 5 minutes ago we were saying the police assault on the two hostage taking locations had been highly successful and it was in a sense that all three of the gunman are dead. however we have a late report coming in moments ago that four of the hostages in the deli wed. that puts a much darker picture on the overall -- cheryl: we have known there were five hostages in that delhi and your point there is video

showing a woman leaving and reports of a woman leaving, but now that you have two different credible news agencies saying exactly the same thing. in these hostage situations it will be very fluid. we don't know until we get further confirmation. also wondering if president obama will talk about this at any point. not saying any news out of the white house he will address the country or address that -- those remarks. stuart: two hours ago we had video of air force one taking off from andrews air force base on his way to tennessee. he is scheduled to make a presentation where he will suggest free two years of community college students. that is what he is talking about today. he may well be sidetracked by the events in france and make some kind of statement. maybe he will make more dramatic statement about our position with terror, maybe will use the expression islamic terror. i don't know. at the moment he is on his way

to tennessee to give away two years of community college. cheryl: the word terrorism needs to be front and center. that is my opinion. stuart: judy miller's with us. okay. it is precisely what:00 noon. let me update everything. two reads that the two locations where hostages have been taken. three terrorists dead including said kouachi and cherif kouachi. the hostage at the print factory where they were on screen right, where a neighbor killed that hostage got out freed. all of this has happened in the last 50 minutes, dramatic indeed. judy miller is with me. i want to raise with you what i think is a disgraceful and disgusting and troubling aspect here.

it was a kosher deli this man invaded. the police closed stores in that neighborhood which is a predominantly jewish neighborhood. anti-semitism from right to the fore in this situation in paris. >> this is a hallmark of the islamic jihad is in. they hate jews they hate christians they hate those who don't accept the word of god as they define it. it should not come as a surprise -- in a series of attacks on jews. >> absolutely and in brussels as well. this is a phenomenon which is deeply entrenched in european history as you know all too well in the islamists use this, try to play on the inherent anti-semitism to justify their actions. this time it won't wash. french people are outraged absolutely outraged by this and i want to point to one

indication. the policeman who was on the ground who was killed trying to defend the people at charlie hebdo and this was spread from france he was a muslim, 40 years old, a policeman he was a patriot. these people will be isolated and the french have shown they are willing to deal with that enormously harshly. stuart: i think what developed over the last three days is an increasing understanding that western societies which have a large muslim population within their borders are now more vulnerable to domestic terror. that this event, these events have highlighted the vulnerability. i am not sure america's authorities understand or are willing to acknowledge our vulnerability. >> absolutely correct. the president continues to resist the notion that this has anything to do with islam. now for the first time we have

had the leader of the most important arab country in the world, egypt, stand up and say we are part of the problem. we need a revolution. he called for a revolution in islam and that challenges president obama also to change. stuart: that was not reported. i didn't see that in america's media. this is the top guy of egypt and he said you got to change. this is not good enough, knock it off is what he said. why was that not -- >> the president -- stuart: not getting on well with the egyptians. >> he tried to block the muslim brotherhood, the duly elected government in power, the egyptian people said no. they are destroying our country destroying egypt and they got rid of the muslim brotherhood. all the president had to do was support, now the whole world

will support the president. stuart: back to the relationship between the stock market sell-off and a terrorist incidents in france. i want to bring in charlie gasparino. i have been saying all morning there's a link. the possibility of a further strike has highlighted by britain's and i 5 chief who set an attack is imminent, that is effective in today's stock market but am i going too far? >> is a small factor. there is never one reason the market sells off. stronger employment data gets back to the notion that the fed will raise interest rates again possibly, the market takes that. that is what it is trading on. wages came down. in a lot of ways to look at this report. this is playing in it. look what happened in 9/11. this is not quite 9/11 but it is pretty bad. just look at the paralysis to our economy 9/11 caused.

they attack the epicenter of finance, knocked out the new york stock exchange, stock trading stopped for a week. that is very bad for the economy and there will be an economic impact if this keeps going on. what are people doing when they are afraid to walk out in the street? they don't buy stuff for go to movies. that is the economic impact of terrorism and if it is really bad it shut down the economy. stuart: we should say again what the chief of britain's intelligence agency, the equivalent of the cia, a mass casualty attack is imminent in europe and/or america. blogging stuff. >> i have family in italy and there are large pockets of muslim neighborhoods that never gets integrated. political correctness is at the heart of this. has never been a debate, no real debate among the intellectual

class in the newspapers about what it means to have a whole bunch of people segregated from society and not integrated. they adopted multiculturalism ten times wears the we have. we are heading in that direction but that is what this is. >> france said come here, become french speak the language and you will be fringe. they have a much more american model ended didn't work there either. stuart: france projected that. >> because of its huge numbers they are 8% to 10% of the population so they can afford to have their own culture, their own language. if you get on the metro and go to one of the suburbs outside paris you will not see signs in french, only arabic. we are talking about cultures that are deeply separate. despite the rhetorical commitment to integration. stuart: is america a separate case? america integrated immigrants better than anybody else.

>> still not great. we benefit from the fact that many of our immigrants are christian. i hate to say it but the integrate into our society a lot easier. we have mexicans that want to come to this country because they love the country and they do share a culture with the vast majority of people in terms of religion in this country. >> also talking sheer numbers. if you have 1% of the american population which is muslim versus 8% to 10% of your population you have a very different kind of challenge. stuart: let me give you one statistic. in holland in the year 2020 which is five years away more than half of the people under the age of 18 will be muslim. that means you can look at the clock, demographic clock, muslims will be the majority. >> there's nothing wrong with that that is that many people coming in at the same time it's

impossible to integrate. stuart: the nature of dutch society. >> i am the son of an immigrant. my father-in-law was an immigrant. italian immigrants came in waves, not all at once, didn't pack the country for over 30 years. they came in waves when we needed labor at the time. that creates integration. people start becoming american. if you just flood the borders with immigrants, that the assimilation process is difficult to start. stuart: i want to break away, austan goolsbee is with us. welcome to the program. glad to have you on this day. we want to talk about a jobs report. i got to ask you a couple questions about the situation in europe, the situation here. i am going to press these questions. you know president obama. you worked with him very closely. are you comfortable with what i

perceive to be his standoff, his unwillingness to be dramatic about the terrorist situation? let me give you an example. earlier this week when the man has been on the can the turtle, the man has a passion. she is emotional, he stands up and makes a great speech he gets right out there and he says his peace. in inside the oval office when he is making comments about the situation in paris he is almost laid-back. appears almost ambivalent. are you comfortable with this? >> i would not agree with that characterization. i would say the time i have known suppressant he is not a guy to get superemotional at the highs or lows and certainly during the economic crisis, and was quite happy that we had a leader who was that way was not getting worked up in that way. you can make if you get too

into the emotions at the moment sometimes in these foreign policy crises you can make some mistakes. stuart: at the same time the country wants a level of reassurance that the administration is on top of this that they acknowledge the threat, prepared to name the threat, it is islamic terror and to get out front and say where are they? the country wants that. >> you may be right. i am not an expert on public opinion. this is happening in france, they expressed a lot of sympathy and i am sure the national security experts in the united states are helping as much as they can but this does seem to be a domestic threat. what happened in pakistan and around the world, usama bin laden etc.. i do think it is a little unfair to say the president has been out front fighting terrorism.

stuart: i don't want to take you into territory we have judy miller, pulitzer prize-winning journalist sitting next to me listening to what you had to say and shaking her head. >> the president is passionate about the shoe, for you that is great because one of them is the economy. when it comes to a moment like this when people want reassurance, they want to know that the president understands that what happened in paris could happen here don't you think there should be a little bit more oomf and leadership and strong words to reassure a nervous american public and the markets? >> that sounds like a leading question. in my opinion the president has provided a lot of leadership on foreign policy and on terrorism. if you look at the number of the most sought terrorists by the

cia and the fbi president obama has killed a massive number of those terrorists and the controversies outside the u.s. are going the opposite way. if you look at pakistan we don't want you using drones or doing as many missions to kill the terrorists. stuart: i don't want you to think i am ambushing you here. i want to get on -- >> don't want you to think that i am an idiot. it is not my area of expertise. stuart: the jobs report. i will pick on one factor within the jobs report and that is the decline, you know what is coming in average hourly earnings. that is a big negative. >> i agree, not everything was good in this report. it was a fairly strong report but there are some weak spots one of which is wages went down.

the other is labor force participation actually declined a bit. on the positive side there were a lot of jobs generated and the unemployment rate continues to fall. if you look over the course of the year, pretty strong employment growth here on both unemployment and job creation but it is not without some blemishes. stuart: a lot of people are concerned wages are not rising as you would expect them to rise in a situation like this and the number of part-time workers is growing and the number of full-time well-paid jobs is not growing. i think that is why a lot of people -- >> the first part of the statement people are nervous about that and should be nervous about that. that is the conundrum and the weak spot of where we are middle-class wages got a benefit from the economy. stuart: we are out of time. you are a good man and i didn't

mean to ambush you. >> these are important issues we have got to talk about. >> you new president obama very well. we appreciate you being here, thank you very much. i want to update the situation in paris. france 24, that is the tv station in paris, they just reported that four people were killed at the supermarket in france, four of the hostages were killed, two police officers were injured. the same confrontation the same us all, though beating gunman, we will put up a picture of him in a second, the man who is second from the left was killed. we don't know what happened to the lady on the extreme left, she was his girlfriend and an accomplice, we don't know what happened to her. the two guys on the right, they were killed. the police assaulted their holdout situation worse of

paris those two guys are dead and the female hostage they have taken. on your screen, you just saw the flash of an explosion then smoke, took place much earlier this morning, i would say 90 minutes ago. we were live when this was happening, that was the first of two explosions. that was the signal the assault had begun. was a successful assault. these are the guys, there's the other explosion. they shot up the magazine and those are the guys responsible and they are dead. those guys are dead. that was a successful take down operation. judy miller is smiling and nodding her head. don't want to be accused -- sometimes those -- >> the express desire to be martyrs, they achieved their aim but what they won't do is to achieve their goal of sending french into a tailspin. france will recover from this. the french police are extremely

capable and they will be asking lots of questions about what went wrong in this situation. stuart: look who's here. it is friday 12:00 noon when brian kilmeade in his seventh hour of continual broadcasting is with us. >> it has been one story, 45 in the morning eastern time which is 10:00, because we came into this news about what is going on with the two brothers hold up in that print plant. stuart: the take away from today's events, several take aways, looks like a fairly successful security operation to take down the shooters and take them out. got that. four hostages died. very unfortunate but otherwise a successful take down operation blue second point. it seems all of us in europe and north america are more vulnerable now because we have large muslim populations within our borders some of whom are radicalized and some of whom i going to attack us.

that is the main take away from me. our new vulnerability the way they linked with each other, the way we did not even know the female cop who was slain yesterday was slain by somebody who was linked to the brothers, the way they get the weaponry they were able to get. in america we are always taking slings and arrows from people inside and outside, we have too many guns in this country do we have ak-47s in bulletproof vestses to be undetected as cops who are unarmed to protect us? on top of that it is also very interesting that they were able, thankfully the french cops were able to do this, take down communication ability in the print plant and not enable them to hear that somebody else was demand in the print plant not be raided or else they would kill hostages. if they came out shooting the new time would be on their side

and the hostage drama would continue longer. stuart: may be no more than i do. they came out shooting? >> the report we heard. stuart: talking about said kouachi and cherif kouachi. >> they came on a shooting causing the french to react. that is what we heard. stuart: and you know. and you know that the french authorities somehow shutdown communications in that area? >> they shot down during fox and friends at 7:00 a.m.. no social media, no communication. stuart: the two brothers could not get on to social media, no reports from outside, couldn't book report. >> telecommunication shutdown was reported four hours ago. stuart: the guy in the kosher deli, he said if you go after my colleagues i will shoot the hostages.

and and they went after the deli guy and got him. four hostages were killed. >> the targeting of the jewish neighborhood inside paris, that is not a coincidence. stuart: >> we are not financial analysts. the dow jones industrial average was down and i thought the decline on the stock market had something to do with the new tariff threat. and something to do with the terror activity. and i'm going too far, and >> we just had the president of the u.s. petroleum institute, saying the big news they had to

date, nebraska and of the semantics of the supreme court they basically told the president one of the roadblock you are putting in front saying this can't pass is not going to be there. maybe somehow the pipeline -- stuart: the price of oil dropped a bucket of water down $47 a barrel. when that news came out, that is it. >> judas recommend an oddball oil by the barrel. i am keep in my backyard. stuart: that is coming back. that too is coming back. about an hour ago, we were down 200 points. we are down 121 points. and we had two lost his situations in france. and the guy on the kosher deli

are dead. the hostage at the factory where the rich taken hostage she has been freed, she is okay. they were killed, four of them dead. we ended and there were other hostages who may have been freed, four hostages, i am not coming to you for a long time. your thoughts? >> all the questions i am asking that terrorism analysts will be asking. what were the links between these men? how much training did one of the brothers get in yemen, was he inspired by alalaki the went to yemen to spread his gospel in the form of al qaeda and who called specifically for the murder of people who worked for charlie -- charlie hebdo. was that the trigger that in full that this man to do what he did? did he deliberately go quiet so the french police wouldn't be

watching him and he could do this can't exert maximum casualties? stuart: joining us from paris, live in paris, any kellogg thanks for joining us. can you clarify what happened at a kosher deli in paris. >> details are still coming together. we were pushed back, much closer, 400 yards from the kosher grocery store and just about half an hour before the hostage crisis ended. we were pushed back from our location along with other traps that gathered there and we move along, from have a mile to the location we can see anything. we had four and two large explosions when we got to this point and i have to say our hearts sank because we knew this hostage situation was tied in with the other one at the

airport. in the industrial park with the two main suspects. and they are now dead. the guy here, amedy coulibaly friend he would kill hostages if the of the two hostagetakers were attacked by police. we heard the explosion and ambulances streaming by here. the original reports where people were walking out of the kosher grocery store and we were heartened to think people had actually survived the hostage taken out with hostages themselves had been able to escape. the numbers grew. was supposed to be five hostages so what seems to happen, communications to an extent were cut off. there was knowledge there were so many people, public knowledge there were so many people hold up in there. obviously at some point hostages were killed, we have four now.

we don't know if that happened in the initial hostages taking or if that happened in response to the showdown at the other location. in number of people got out okay. stuart: i wonder if you could set the scene for us. it was reported that france throughout the day has been virtually shut down and paris is in a virtual lock down situation certainly until this assault on the kosher deli. is that accurate. was french at down, paris locked down because of the incident? >> parts of it were. the area around porte de vincennes in the east of paris has been blocked off to an extent that we were able to drive from our hotel to the eiffel tower across town, basically 400 yards away from

the kosher grocery store where the hostage crisis took place starting from around midday. the periphery that goes around paris is partially shut down but not completely. we have seen people out and about. it feels all the more quiet. it has not been shut down mode, people are horrified and people have been scared with all the different gunman, specifically three or four on the loose for 48 hours, there has also been an incredible sense of resilience here and late last night we were outside the offices of charlie hebdo and people will come by and numbers leaving candles and notes. there is a sense people don't want to be cowed by what is going on. there is an enormous police presence. stuart: our colleague is reporting four were killed inside the kosher deli four

people hurt. ten hostages released uninjured or got out uninjured. that is from greg -- i have a question for you about the coverage of this incident inside france. what was the tone of the newscasters who were telling the french public what was going on, a tone of a anger, hostility, what was their tone? how did they come across? >> i sat outside most of the day, haven't been sitting in front of a television set. earlier today in the hotel watching the coverage, i thought it was quite lucid, it was not hysterical. clearly people are outraged and angry but i think they are feeling more that something needs to be done and french people need to work together but i have to say it has been -- it has been solid coverage.

it has been clear coverage, caretaking, the best of my interest in to keep to the facts and try to inform the public about what is happening where, where schools are being evacuated, where students have been told to stay inside so it seems to me it has been instructive and lucid and careful and it has not been hysterical but there are a range of emotions in this city. fear of a lot of backlash attacks on the muslim community. and and they are not ready to be cowed. it is a real symbol of french society, satirical newspaper that not everybody read but that stance for much in terms of the ability to make fun of whatever

is they see as off kilter anywhere in the world. stuart: thank you so much for joining us on a very big day. thank you. let me update the number of deaths in the kosher deli in paris, the total is five dead. no four hostages, the gunman dead. francois hollande will make a public statement within the next 90 minutes. the socialist president of french-speaking to the public in the next 90 minutes. come un in herman cain. always welcome on this program especially a day like this. i want your assessment of president obama's performance if i can put it like that, his performance in this three day old terror crisis. it is europe and i went your assessment of his approach to

this situation. >> he expressed condolences because of this tragic incident that is the right thing to do. in his initial statement he did call it a terrorist attack which was the right thing to do because that is exactly what it is. other than that, he should only offer support if requested and so far he is doing what he needs to do because the french have demonstrated not only they had the situation under control but based on the reports you just gave and the latest reports that are coming out said they did a marvelous job in two days of resolving the situation. stuart: i got to tell you i want a more muscular defense. stuart: i want the administration to come out more forcefully to defend that right

i want the president to get out there and say i'm on top of this. i am in front of this. i am not following some prices. i am on top of it. i am taking care of it. >> i agree with everything you said. he should also be talking about what we are doing proactively. we are not in disagreement to do it at all. i just have to believe that he should be reassured with some actions about what we would do in that event. him mayor cut in this respect? some of them, hostile to

european style government. >> i suspect it is a rather different prospect. we wrap our arms around immigrants. perhaps much better than the europeans do. >> i agree with you. we are different from europe. we are gradually slipping toward the european auto in that regard. political correctness in this country is causing this country to drift more towards that european model, which, as you know, creates a lot of issues, socially, as well as in terms of enforcing the laws in those particular countries. we need to do some things to prevent coming from another

carbon copy. stuart: would you and anyway, restrict muslim immigration into the united states? >> no, i would not. i believe that there are some peaceful muslims. they have been noticeably quiet. i have to believe that there are ways to determine whether or not they are here to harm us. we should not restrict moslems from coming into this country. we should make sure we know where they are and that their act to the these are monitored in some way. we just do not know how or when some indoor homegrown terror attack could happen here in the

united states. >> should we increase the level of surveillance? that implies a profiling of sorts. >> i happen to believe that the intelligence community they already know those muslims here in this country that could be potential threats. they could perform surveillance on in me that they believe could be a threat to the united states. they have to narrow it down to provide surveillance on the ones that deserve it. >> are you packing? >> not at this time. look, the good news is, there will be a lot of choices.

unfortunately, for me, no one stands out as someone that i am planning to back at this particular point in time. declare or undeclared. stuart: hold on a second, are you running? >> i just said that claire or undeclared. >> they may have known it was brian that put you up to that. >> he has the experience. he understands the people. a tough candidate. stuart: is he running? >> i think that he is definitely considering it. >> are you saying i can handle my steps in a debate?

>> that is what i am saying. i have seen it before. stuart: her man came everyone. thank you very much, indeed, sir. >> yesterday, they made a remark they said, essentially, look out. we are watching this happening in france. they are saying that they are more determined than ever to hit european iconic buildings and areas, as well as the u.s. you know better than me, it is very rare. >> a very occasional public statement. i believe that the man said, watch out for a mass casualty event in europe or in america.

i think that the word was imminent. >> writes. everyone in britain is watching what is happening. could it happen there? aren't they are also handoff approaches in britain like there seems to have been in france. stuart: i wonder if that will change. brian, hold on a second. i have scott in chicago. in my opinion, part of the reason for the selloff on the stock market is the terror threat that appears to be imminent around the world. am i stretching the point there? >> no, i do not think so. it is just a 1 degree. it is not good. a negative feeling this morning

on top of what is happening over in france. i absolutely think you are correct. >> that is the point. if you are a traitor, why would you want to hold stocks over the weekend. and math casually attack is imminent. i think you are rating the risk level there. >> i think the risk what we have seen happen is absolutely the right reason. that is why we are seeing the week long to get out of the market this morning.

>> thank you very much, indeed sir. we were down over 200. came back a little. that is still quite a loss. richard grenell is with us. why do you make of this statement from the and my five guy in britain? a mass casualty event is imminent. >> sad when you look at the end tell on a daily basis that u.s. government officials get. the threat is real. it is on a daily basis. we have to be able to prioritize

we have to have leaders that take it and make a decision quickly. i think that these threats are very real. what we have seen with homegrown hate is that you no longer have to have instruction from the leaders in yemen or insight theory out or wherever they may be. isis, al qaeda, all the islamic radical groups no longer need to instruct individuals. they can get this do it your self terror kit basically -- stuart: to think that raises the terror level in the united states? are you comfortable with president obama's reaction. >> no, i am not.

you have to be able to get the guy when they are planning the destruction, not when they are in the plane or in the car with the bomb in the trunk. you have to be able to make the decision to get them when they are planning. stuart: are you comfortable with the level of surveillance we are allowed to conduct on american citizens? >> first of all, i think that our intelligence gathering is enough. we have to have intelligence leaders back and pulled the pieces together. basically, we have too many bureaucracies. it created another level of bureaucracy. talk to people more and put the pieces together. >> thank you for joining us.

elizabeth macdonald is with me. >> there has been something like, i will give you the number 20s. terror plots. it is interesting. >> 20 syrian linked terror plots. that includes isis. when we talk about surveillance, it is worth noting the fbi is here for the constitution. anything that did not get surveillance will hold up in court. remember last summer, the nsa isis came full board into the media. they started attacking and slaughtering journalists. what happened to that report?

it was back bernard. a push to do nsa surveillance reform. watch whether or not this will again put that on the back burner. stuart: when i came into the studio this morning walked around the streets of new york, i was struck by how this story had captivated everybody. this is what people were talking about. they were talking about threats to america. especially new york. the conversation that i was hearing, we are vulnerable. >> before 9/11, if we walked around, nobody knew who bin laden or al qaeda was. all of a sudden, everybody knows. we understand the terror threat.

the fbi has picked up their game. the cia has picked up their game. the new york police department has picked up their game. they have formed their own kind of terrorism organization within it. >> crossed wires with the fbi a lot. >> they are fighting for the right reason. to protect us. i am happy. this is the other thing that they were talking to you in the elevator about. the morale. the disrespect this mayor has shown to the nypd to the point of turning their back at funerals. arrests have dropped. now you are asking those same people to stop the number one terror target. somehow, mr. mayor, and the nypd commissioner, you have to find a

way. it is mr. and mrs. jones tried to make a living. stuart: thank you. a frequent visitor on this program. rabbi, i tell you one thing that was really disturbing to me today. this was a kosher deli that was invaded by this islamic government. also what troubled me was the stores in that neighborhood, a predominantly jewish neighborhood, they were closed. talk to me about anti-seven is him. >> all you heard was french, french french. no hebrew. no english. they will immigrate to israel as they did last year. it was only a matter of time until we saw another attack.

i said to myself, no doubt the community is the next target. it happened two days later. this is vicious. it is vital. it makes my blood rage. in a western democracy, a minority can be targeted for murder. stuart: do you see any change coming? do you see any change for the better coming? >> it has been very bad for a long time. they feel constant incidents. we saw giant demonstrations against israel. thirty, 40,000 in the streets of paris. the only way there will be a

change stuart, if the muslims of france launch a margin. absolutely condemning all violence. thirty 40, 50,000. advancing in the middle east. surely, you can march intake their religion back from monsters, killers and extremists. by mainstream moslems there can no longer be a silent majority. it means absolutely nothing. you need to see the same foot soldiers that go out and condemn israel and call for jews to be harmed. now go on to the streets of france and they we will not allow monsters to hike up our faith. we need to see that now or there will be no change. stuart: thank you for joining

us. live in paris. the latest on the kosher deli and what would down. >> that is the messier ending of the two conclusions of a dramatic hostage standoff today by suspected terrorists. the numbers we are getting have been fluid. i will give you a rough idea for you and your viewers. probably the most important number to figure out is one. one hostage taker dead. this is the suspect believed to be responsible yesterday for the shooting of a policewoman here and paris. also believe to be linked to the newspaper office suspects. believed to be tied to an islamic network. here is where it gets messy. four hostages are now said to be

killed. it is believed that that happened in the early part of the siege when the hostage taker did entered the deli. four hostages injured. that happened as it was ending. as many as 10 hostages were released unharmed. there was some confusion about the number of hostages that he held. police sought 10 unarmed hostages come out we thought it was job done. something else the accomplice, the wife or girlfriend of the suspect remains on the run and police are looking for her. just recapping the other situation. this involved the holding of a hostage at a small business 25 miles from paris.

a dramatic and deadly shootout earlier this week. they died, they said they would in this thing as martyrs. that is exactly what happened. a massive police presence and force moved in to solve that situation. the two came out shooting and they were shot down. luckily, iraq airfleet, the hostage escaped unharmed. it is believed he kept himself off that one corner and try to protect himself as well. bottom line, stuart, both situations are resolved. a lot of questions need to be answered. france may be breathing a sigh of relief and a situation they still know that they have a major problem with islam is radical behavior and possible future acts of this nature.

stuart: thank you very much, indeed. two news items for you. president obama will be starting his speech in tennessee at 1:20 p.m. eastern time. expected to address the french information before he would takes his remarks. he is expected to address the french terrorist situation. the president of france within the next hour, he is expected to make public statements as well. let me give you a timeline of how this story came down on the financial markets. i was up very early this morning. 4:00 o'clock. i saw that dow futures were down. about 50-60 points. fast-forward 28:30 a.m. a drop in average hourly wages. not a good sign.

the stock market went up. the dow jones industrials went up. because, a week jobs report implies that the federal reserve will keep interest rates at zero for a long time to come. up went the markets. then the market opened at 9:30 a.m. then the terror action started in france. the police assaulted the brothers just outside of paris. the police assaulted the deli inside of paris. then we have word that the chief of and my five said a masked casualty event is imminent. down 200 points. a red dot on your left. we have come back a little. not that much. we are down 154 points as we speak. i am suggesting there is some

connection between the terror events overseas and the stock target decline here. not a big factor, but it is certainly a fact there. elizabeth licked -- elizabeth macdonald is still with me. >> this is a network. a network of isis serial killers who clearly hijacked religion to justify serial religion. to have new york city in their sites. chicago, los angeles, are in their sites. this is according to law enforcement. leaders have to call for a -- on this attack. on the killers. it is no longer enough to condemn. they must need more of an

outcry. the media reaction. when we talk about covering this, we have to ask the tough question, what in the muslim religion leads to calling for jihad? twenty or 30-year-old men getting so unhinged that they go out and slaughter innocent civilians. this is what western civilization is up against now. >> do you expect that the media politically incorrect question? >> not from what i have seen so far. stuart: you could be accused of condemning that religion. being anti-muslim. >> we are beyond that point right now. we can no longer sit back and be politically correct. from whatever side the political aisle you come from, this, again, there is no violation of

civil rights. the tendency to be politically correct. it has got to stop. i used to be at the "wall street journal." paul was assassinated covering russian corruption in moscow. we have seen journalists attacked. now we have seen cartoonist attacked. we have sony getting attacked by north korea. this is where we are right now. they cannot blow up the capital structure of the world. these guys are going to continue. stuart: i just wonder if the media has the courage to address the problem head on.

president obama refuses to use the word islamic terror. we should not describe them as muslim terrorists. meet it head on. an enormous reluctance to do that. >> yes. there is a roulette and to do that. everyone agrees that the muslim faith has a lot of beauty to it. in the muslim religion, they have said repeatedly it is hijacked because the muslim faith supports g hot. that kind of thinking, basically, really delirious. stuart: to your point, a frequent guest on this program. he was on the show yesterday. have you ever been threatened?

he said, yes, i have been threatened. in his own mosque. we are very glad to have you today. you are a brave, patriotic and decent man. address that point please. does the establishment media in america have the courage to ask those questions about islam. to question the basic tenets of your faith. does the media here have that courage? >> they do not. the safety and security as we know it, is at risk here. they are making the west. he has an organization just like nine. he was put in jail last year for 10 years.

our so-called ally against them. they go on to be these brothers. the boston bombers who hate though west. we are not real muslims. you have to begin to address the ideas of promoting liberty. you come work with muslims so you can defeat the ideas of the patriotism. stuart: and lots of people still want to know why is it when you have this kind of outrage we do not see moderate muslims like yourself and vast numbers out on the streets saying, not in my name. not in my religion.

that is creating a lot of hostility. people want to know why. why are people like you not on the street? >> this lack of conversation is preventing attention from muslims to see if there is any energy. in between, there is no discussion because of the fears of being labeled the biggest. the muslims in america say we are just 1% of the population. in egypt, muslim went to the streets and rejected the brotherhood. in tunisia, they rejected it. in iran, there was the green revolution. in america, there is no urgency. preventing criticism of the ideas that fueled this. >> president obama is opposed.

because of some civil rights problems there. the leader of egypt has come out most strongly and said, knock it off, you guys. i have 10 seconds. last one to you. >> the dictators may be saying they do not want the terrorism. they do not want the populace. they do not use words like liberty and freedom. stuart: a fine american and a great man. thank you for joining us. we appreciate it. i want to recap what is going on. two raids. three terrorists dead. at least for hostages killed. we are told that 10 hostages freed at the kosher market in paris. president obama is expected to address the situation in france about 20 minutes from now.

he is an tendency giving a speech about free community college for two years. the dow industrials down 175 points. that is it for me. here is your drop bolton. deirdre: cheryl casone right beside me here. stuart is kind enough to just go over some of these headlines. >> let's step back. this is three days of a manhunt. remember wednesday morning charlie, those offices raided. three gunmen. twelve people killed that day. one gunman turns himself in. the