views. >> find out more after being on your show. stuart: stole the show. that is terrible thing to do. neil cavuto. take it away. steal the show. neil: that would be like having steve moore, chief economist at jpmorgan together like back and forth, back and forth. stuart: i'd love it, frankly. neil: that was awesome. thanks very much. we are following a not so awesome, more like crazy day in the dow. i know this sounds a little crazy. i will show you these numbers here. we've been all over the map. we had a jobs number which was off the charts better than expected. almost 300,000 jobs created. so that was apparently taking the monkey off this market's back. now they're whining about, wait a minute, that means the federal reserve could tighten. these ungrateful sobs. this is what they do. wait a minute, they do commercial. anyway, anyway, we have latest what is going on. it has been a win sawing market.

connell mcshane to put it into perspective. whatever happens, connell, i think it is safe to assume we'll not finish the first week positive. >> right. neil: there are definitely worries there. what is going on here. >> definitely not out on a limb on that one. best we hope is stability. we barely can find that even with the better than expected jobs report. futures surging with the dow futures up 200 points and we faded and faded. what is going on? two things are going on. more jobs added than expected. we started to react one of the things out is federal reserve. that is interesting, you would think logically get better than expected jobs report, wall street types come up, fed will hiking rates faster. maybe some people are doing that. odds of a rate hike haven't moved all that much. what it look likes the stock market, we'll talk about this more in detail later in the hour, the stock market tracking what is going on in oil. watch oil.

it has been this way this week. when oil starts to sell off, we hear so much about supply when it comes to oil, think about demand, story of the week is china, slowing economies around the world, especially in china, that hurts demand. part of the oil story and big part of the stock market story. seems like bigger one than anything we've been covering this week even better than expected jobs report. neil: dovetail that with what is going on in the dow. that is pretty uncanny. you and i love charts. >> charts i have a couple for you later in the hour. neil: wow, don't give it away. don't give it away. connell mcshane. as expected president repealing bill to veto obama care. at least it got to his desk. republicans fully expected he would veto it. president sent page 1/2 response why he vetoed it but it didn't happen. republicans are using this as leverage to say, we had alternatives, whatever, this thing we think is disaster keeping it going.

much of that expected. political theater if you will. now as to this market theater, brian brian wesbury said everyone should just take a chill pill. calm down. he likes big picture. i don't know if that counts as being bullish but you're positive. explain. >> we're positive. we still call this, neil, i get laughed at these days, i said it so much, we call it the plow horse economy. it isn't racehorse and isn't headed to the glue factory either so it is a plow horse. we get good numbers like today's number with the employment report. like this week's services sector report and we get some bad numbers like last week's manufacturing. and a little bit of a slowdown in auto sales. i think that is our economy. some good numbers about, some bad numbers. if you're bearish, you jump all over the bad numbers. if you're bullish you jump all

over the good numbers members. we're growing 2%. nothing to write home about but a thing we lived with for seven years. neil: we'll talk to a bear in just a second of latest indications that the consumer might be slowing down or having second thoughts. macy's disappointing sales and fact it will lay off more than 4,000, the gap with very disappointing december sales. american eagle outfitters very dispointing sales. samsung talking about very tough 2016, doesn't see much improving in the market for high-tech items and like, obviously a lot of bread crumbs there. what do you make of that? >> yeah. i mean look, we can follow the bread crumbs all around but we've done this, not like i'm trying to make fun of anybody or be sarcastic but if we really, if we really think back over the last six years we've done this all the time. you know, ups has a weak quarter

or walmart has a weak quarter. then everybody gets excited that something's going to happen big and we keep waiting for this collapse again. we keep waiting for '08 to come back and i just don't believe it will. i think we'll continue to struggle along. neil: it has been a long recovery. a long recovery, long in the tooth, these might all be convenient excuses to sell so what do you do? >> yeah. i think they are convenient excuses to sell but when i look at the stock market overall it's still undervalued. the fed is still easy, even with four rate hikes this year, 1% interest rates, 1.25, that will not stop anybody from inventing a new something that changes our world. so the bottom line is, the weakness that we've seen in this past year i think's coming from a big drop in energy investment. neil: okay. >> that was one of our drivers. but the consumer is okay. we had 270 -- 292,000 new jobs.

incomes up 2 1/2% above inflation. when you add weekly hours worked the work week is getting longer. consumers have four, 4 1/2% more to spend this year than they did last year. neil: all right. >> they have low debt. and low interest rates. so, i just don't see this tipping over into some major problem. neil: all right. i hope you're right. you've been pretty prescient on a couple of big developments here. brian, be well. happy new year to you. >> thank you, neil. happy new year to you. see you next time. neil: congenial tone far, far different than mark faber. listen. >> by definition the world is actually in recession already. it has become a little bit oversold and rebound but i wouldn't bet on it. neil: i think he said it's over. [laughter] what do you think? had that all planned for you.

mark faber, he is a genius by the way. noted bear. said that will be horrific year for stocks here and globally. gary b. smith, what do you think of that. >> i think marc is right. i am glad brian went before me because i can address some of those points. neil: before you do you have to sound like a villain. >> like dr. evil. neil: yes. >> i tell you what, he said it is plow horse economy. the problem we're in kentucky derby kind of world. that is a where i see the world. brian made the point, we always go through this, same kind of story, ups. look, we have never gone through this. oil is nearing $30 a barrel for crying out loud? china, which has been the workhorse of the economy for the past few years is kind of cratering as far as i can tell. you have our gdp slipping.

on top of that this morning goldman sachs forecasted growth, quote, unquote, of minus 7% for the s&p. i don't see that we've been through that in the past few years. i think we're in a kind of new paradigm. the paradigm that is going down if you will. neil: all right, now, what is your central thesis for tough year for the markets? the one i often hear, whether china used as excuse or whatever, it has been a long time coming with this recovery and this run in the market and it has got to give up some ground. >> hmmm, that is a good, that wouldn't be my main thesis though. neil: what is your main thesis? >> my main thesis is that the three pillars we normally build the economy around, employment, wages, and housing, are all flat to down. wages, just in the recent report this morning actually down from november. employment, we have what 62.4% labor force participation?

that's still, that is back at '70s level. there is no growth there. housing is kind of flat, certainly down from 2007. you add in the lack much what i now think is lack of oil demand, i mean the price can't get this low without the economy just really pulling back. it would be much higher than $33 a barrel? that is my thesis. all the signs i see, plus the ones you mention. only retailer out there doing well is amazon. put all those together, that is why i differ from brian's -- neil: macy's is doing poorly because stopped selling donald trump's shirts and tie. >> he tweeted that. very valid point. thank you very much my friend, always good see you. >> you bet. neil: on the marc faber point. this was written for marc faber. do you know how much market value was wiped out this week?

just take a guess. 1.$6 trillion. [laughter] -- $1.6 trillion. horrible. nothing like my scottish accent. -- it is. we have the big debate you might have heard once or twice. fox business kicks things off with the first republican presidential debate next week. we're getting there a little earlier because we'll be covering the president's state of the union address tuesday night. i know what you're saying. neil, how can you do that and everything else? well, that's what i do. we'll have more after this because i want to alert you to the fact that crowds are already building in anticipation of both events. let's go live right now to these seals off the coast of los angeles. we got to tell you, before i'm told, there they are. there is the bigger crowd.

we provide ad few monitors for these guys. but you know, you want to save your place, your favorite chair, you want to be there. we'll seal the deal next week you pay your car insurance

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call to learn more. switch to liberty mutual and you could save up to $509. call liberty mutual for a free quote today at see car insurance in a whole new light. liberty mutual insurance. neil: all right. i don't want to get ahead of ourselves here but we're getting disturbing news out of philadelphia of ambush of a police officer and some are linking it to an extremist or fellow who was motivated by extremists. fox told two law enforcement forces that fbi and philly police department, that this guy assaulted a police officer, shot him darn near point-blank. he is in critical condition. he was wearing muslim garb as

you see in images courtesy abc news. they would not elaborate more on the garb or what it means or what this guy was saying or screaming more to the point but they are planning a press conference at about the 45 minutes to update us on this. if some of this sounds scary and looks familiar, it is very similar to at the time a soldier knifing in london, gosh almost two years ago, that soldier was killed on the streets. and the attackers of course were brandishing knives and talking on video until they themselves were apprehended. no way to connect that here or what is going on here. we do know it alerted authorities what seems to be a cop ambush, that is not your typical cop ambush. we keep you posted. this is the kind of development christian whiten worries about, when we hear apprehension of two possible iraqi refugees arrested

on suspicion of terrorism. former state department senior advisor joins us right now. chris, this on top of philadelphia, scary stuff. what do you make of it? >> it is. sign of continuing trend in jihadism with move of highly coordinated attacks favored by al qaeda to lower tech attacks favored by isis. we don't know if the situation in isis was philadelphia or -- in philadelphia was isis or jihadism. or whether we're seeing in san bernardino with knife attacks on average citizens or law enforcement. something that is harder to detect with communication. seems people taking it upon themselves to wage jihad. more about the ideology than it is about intercepting communications. there was initial confusion, when these two refugees were caught, maybe part of the syrian wave coming into the country and is, it is not the case. they were iraqi.

they were caught in california. the other in texas. once again they were trying to fool authorities. now we don't know of any terrorist plans. we don't know of anything more odd than that but it does once again to your point raise questions about how aggressively we police this kind of stuff. you could make the argument, look they were caught but what do you think? >> well they were caught but they were also let into the united states originally. they were immigrants here who later found and now accused of lying to the government about their connections with jihadists and intentions to go back -- neil: right, where they were from. they certainly didn't say where they were from at the time. continue, i'm sorry. >> right. there is another representative, duncan hunter, congressman from california, writing a letter to the obama administration also stating that refugees from the middle east attempting to cross the u.s.-mexico border were on terrorist watch list. there is problem we're not

screening refugees for their ideology, for their travel patterns and things like that. so, yes we can after the fact, when someone has given material support to terrorist group and lied about it, we can prosecute them at that point, but during the cold war we screened out immigrants in most cases who were communists. who were our idealogical enemies. we're not even asking that question. of course applicants can lie and if we find out they lied, you can kick them out of the country. there is presidential debate and policy discussions going on about changing this. neil: christian, thank you very, very much. as christian was speaking i was looking through local philadelphia sources saying about this, ambushing of a local police officer, this coming to us from abc news, that he was dressed in muslim garb, but that does not mean he was muslim or trying to make a point at a time of racial rage at police departments and just dressing up as one.

all we know is that he did shoot a police officer. we do know that the police officer is in critical condition, but we're told, by one separate site it is expected to survive. this was done in broad daylight for everyone to see. maybe that was the intention. authorities there, both fbi level and local philadelphia police level are looking into this as possible act of extremism. regardless they will address reporters in about 40 minutes. we'll have more after this.

neil: we're getting more information on philadelphia shooting. actually occurred last night. philadelphia policeman was shot point-blank by a man dressed in muslim gosh. garb. we're told by a number of media outlets he has been identified. we can't tell you that yet. that the 30-year-old suspect

fired a 13 shots from semiconductor pistole that hit officer jessie hartnett in his car. 33-year-old officer tried to turn fire. hit the gunman, we're told three times. surveillance video at scene, or posted behind the incident. we also have some other video and pictures that were snapped by people's iphones. we're not at liberty to share that yet, at least ones i'm perusing. shows this man in long white robe over dark pants. he definitely has a gun. after shooting the officer he stays near the car. he puts the gun directly to the driver's side of the window. fires point-blank. shots fired, shots fired. the officer responding i'm bleeding, i'm bleeding heavily. he is expected to recover. assailant is alive and taken into custody. again they're not hazarding making a jump whether this is

out right act of extremism or someone dressing up that way to make it seem that way. obviously it is, it has put the city of brotherly love on tintter hooks for good reason. gary kasparov worries about this kind of stuff. talks about the world of terror we live. with the human rights foundation. best-selling author. he warned about bad guys and their intentions, spreading terrorism around the world. he is with us right now. we were not going to talk originally about this, we were getting to other developments but issue of this, local isolated attacks those who might sympathize with isis, what do you think of that? >> they're inevitable unfortunately. as long as isis looks strong, as long as isis and other terrorist groups like isis are around you will spread this. you can not stop them. internet spreads the message around the world. unless we don't go after the source we have to live in this very dangerous an fragile world.

neil: we talked last you were here about all the isis strongholds in the middle east and we see constant reminders are, there are sim threat sick recruits all over the world. >> it is not just isis. international climate. it is much worse than it used to be even eight years ago because we could see that putin, iranians, north koreans they defied the natural order. america is in retreat. obama administration has created massive vacuum spots in the world. of course the spots have been filled by bad guys. neil: whether you want to call china a bat guy or not, you have also talked about when countries are economically in trouble they can deflect a little bit, obviously vladmir putin with the collapse in oil deflected in crimea and ukraine. now we're seeing what china could be doing, landing planes on these islands they have taken

over. what's going on? >> but we also could see, maybe accidental. north korea had another nuclear test. while this president is so busy with gun control begin today here at home, dictators have been testing nukes, maybe this time with hydrogen bomb. i don't think it is just -- neil: what do they want to do? he has a year left in office. are they saying -- >> it is a form of blackmail. they're testing american resolve. and they understand in the next 370 plus days in obama's tenure, they can take more power, take more space. they can prepare stronger bargaining position for the future. listening to the state department waiting for china to meet on north korea, it is disaster. america is now waiting for russia to lead in ukraine. for iran to lead in syria.

how can we, how can we expect america's enemies to lead on u.s. policy and global security? neil: what is it they're waiting for? if they're going to wait out a new american president but there are not waiting out a new american president. what they're doing trying to do whatever they can in the next year, what do you envision? >> it will be very turbulent year because these dictators, all these terrorist groups, all the thugs they understand, that they don't have much time left. anybody who takes over in 2017 from obama will have to change american foreign policy, which means the policeman will go back on the beat. right now we see global vacuum. and you know, we could see putin acting in ukraine, now in syria, iran, saudi arabia. we have more and more crises around the world. if nothing happens in the far east and if china has, you know,

a free ride, what about reaction from japan, taiwan, south korea? we could see that saudi arabia decided with its sunni allies they had to act without the help of the united states. what if japan and south korea decide they will act, that they have no choice to oppose chinese aggressive behavior, not paying attention to the united states? will it help global security or to the contrary create more tension and god forbid, another war? neil: they start acting on their own all bets are off globally, right? >> whether people like it or not the united states is leading world power and with its absence we could all see trouble. neil: scary stuff. gary kasparov, thank you very, very much. as he was talking we got the dow trying to right itself up about 70 points. it has been all over the map. we are started 200 points.

thought they would match the jobs gains number, 292,000 jobs surprise ad lot of folks. with china stablized a little bit, a lot of people were saying we're off to the races. then they started second-guessing. here where we be with 3 1/2 hours to go, no one knows what will happen, no one. after this. when a moment turns romantic why pause to take a pill? or stop to find a bathroom? cialis for daily use is approved to treat both erectile dysfunction and the urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain, as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away

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neil: all right. who knew that the race was get this nasty?

take a look. >> the fact of the matter is chris christie supported common core. chris christie has supported gun control. chris christie of sordid assault weapons ban. this christie supported planned parenthood. neil: as that interview was going on, the christie campaign was blasting back to fbn the following. while senator rubio has no dow matt given some nice speeches on these issues. planned parenthood funding. the rights of gun owners. charlie gasparino, i think i know of a possible tip next weekend. what do you make of this? charlie: it is exactly what i told you. neil: you are right. charlie: there is the biggest battle right now.

a battlement into the establishment to narrow it down to one. charlie: they say this. they are in new york city. fundraising thoughts. let me just make this point. they want, they are dream, is a three-way race. crews, trump, establishment, crews and trump rank, it is each other's young. that is the clearest path to victory. until that one emerges, rubio or christie, there will be a battle extraordinaire. there will be kicking and screaming and punching him scratching. neil: he is in second pair. the gap between, you know, rubio and crews and christie, very tiny. very little movement.

>> looking more to the south. charlie: a piece of donald trump. charlie: whoever is in -- whoever is not in the top three. there will be tremendous pressure on kasich. neil: jeff does not perform well. >> he is are ready facing some problems raising money. the journal wrote a story that said hank greenberg must go. a campaign contributions. it was to jeb bush. we call him up. he actually picks up the phone. he said that was not me.

it was my company. by the way, jeb is not doing so great. he moved away from jeff. he made that contribution in october. jeb is not doing as well. neil: really quickly. another billionaire. translating to folks saying -- we are still waiting. right. exactly. smart money on him as far as the big money. is the big money nervous? >> right now, static. jeff could have the best ebay. christie, you know, and rubio can look like a kid that cannot answer a question. right now, the betting is on rubio. christie and jab, i think a lot

of people -- kasich and rubio have not been attacking each other. i have not heard that much on that. this is where the battle is. whether you like it or not, one establishment running against those other two guys. >> it is strategy. thank you, my friend. charlie: i will be there. neil: search out all the italian restaurants. we will be there next week. a week from now, i will be over. how has this recalibrated the race? we will see. we will be there ahead of the time for this president's state of the union address. of the union address. stick around.

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neil: i want to go to connell mcshane with an update on what went down in philadelphia last night. it is sounding scarier by the minute. connell: we have a police officer that is lucky to be alive. on patrol late last night when a man approached him from the sidewalk. the officers sitting in his car here did the man starts shooting. authorities speaking to fox news. sources say the man -- so far as we know, we have not drawn any conclusion yet for the motivation of the shooting or who this guy was. he did start shooting the 33-year-old officer. this is what it sounded like. we have the audio of the officer. take a listen.

>> shots fired. shots fired. >> leaving heavily is what he said there. he says, i am bleeding heavily. i have been shot. it looks like it is not national

security, by the way. violence against police officers. neil: taking off. an issue that has always been down. establishment politicians. for example, not taking in muslims to this country. the poll numbers went up eight points. when these developments happen, they seem to be rallying voters. >> well, it did to me. a bit of a confirmation.

that is a report that trump gave. i think he is onto something. they see something like this happen. he is right. i think that donald trump, in general, it is not in the things that he says. if you appear weak and not confident. i think people would be like, wait a second. so far he has not done that. he is in his resolve. neil: thank you very, very much. fox news.com. we are told. we shot this philadelphia police man. he did so in the name of islam. muslim. we have a couple of different names that have been attributed

to him. whether it was sympathetic or islamic full on. radical islam. he cited a number of times that this was in the name of islam. officials. stick around. ♪ days after the paris attacks,

senators came together for a top-secret briefing on the terrorist threat... marco rubio was missing - fundraising in california instead. two weeks later, terrorists struck again in san bernardino... and where was marco? fundraising again in new orleans. over the last 3 years, rubio has missed important national security hearings and missed more total votes than any other senator. politics first: that's the rubio way. right to rise usa is responsible for the content of this message.

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and if you do have an accident, our claim centers are available to assist you 24/7. for a free quote, call liberty mutual at switch to liberty mutual and you could save up to $509 call today at see car insurance in a whole new light. liberty mutual insurance. neil: it is all they are talking about in philadelphia right now on social media sites. print and rock cast together. what went down last night in philadelphia. a deranged man walks up to a police cruiser. shoots the officer inside at

least 13 times. that officer is in critical condition, but expected to live. local police in that area. apparently, in the name of islam. proving he is muslim himself. other local sites are saying just a glorified lab coat. it got the attention of the fbi. our ready got the attention of local police officials. at least in philadelphia, it is all-consuming and all appearing. two weeks after the san bernardino attacks. no connection. nor is there even a possibility. it may turn out to be nothing. it could have a pure islamic extremist connection.

we will talk about that in a few minutes. we were talking about how some regions of the world have gotten used to this. you and i were mentioning israel. >> we are not there. we have not hit the inflection point. we see an extra police presence. we have not reached that point. we pray we never reach it. these kinds of things catch fire on social media. people want to know. there is a lot of people. a lot of different things. anytime something like that happens, not only deranged, but islamic terror. >> copycats. >> there has been a war on police even before. a half-dozen years.

mostly a hollywood type of thing. anti-whatever. antiwar police. anti-military. neil: sharing information as that pops up here and online ranking. it may not be islamic at all. charles: we have seen it again and again. i think we are seeing it more and more. it is never completely up to the point that you are making. see something, do something, say something. we do not want this to become everyday life. neil: whether we do get used to it. to your point. try to resume your lives.

they try to go on. we had more and more of these types of incidents. could we do the same here? >> we could hear it i remember in israel when all those buses were blowing up. you have to do what you have to do. >> it is in the back. >> it could be, america. we do not want it to become america. it is alarming to us that it is major news. neil: whether to relate these two. it is foolish. something like this happening. we have been in this neck of the woods. down from our highs. no one is freaking out. what do you think? charles: no one is freaking out

in general. it is not just our economy. i do think that this leadership void is not picking on the bottom. leadership, pull it up cool, economic him a the federal reserve. this is a large entity that should be taking care of us. all the power to print money. almost everything but the police and our military. politics, private sector. we are a brother list ship. three times detonated an atomic weapon before this week here at the market was up that day. our markets. this time it was down 300 points. the central issue there. a lack of leadership or

confidence. just to update you. we are now hearing, i think tuesday. also the largest city in the country. the fastest i have ever heard this. too many guns on the street. ♪

is to all right. a moron philadelphia last night. concerns that it may not just be a police shooting. that is bad in and of itself. connell mcshane with the very latest. >> after a police officer there was ambushed oz night. a man shot into his walk are 15 times. he did survive a shooting. sources in law enforcement only telling us that this man was

dressed what they describe as muslim garb. they have not said he was motivated by islamic extremism. they are looking at that possibility at this early stage. a news conference is set to start at any moment. the officer did survive this. this is what it sounded like. >> shots fired. >> leaning heavily, said the officer. officials earlier today had this to say about the shooting. >> that is correct, sir. connell: you heard it on the radio there. we do have a mailing custody. the officer was able to return fire from the squad car. the suspect was quickly apprehended.

what we know about that suspect so far is that sources close to the investigation has said he was wearing muslim garb. they are looking whether the shooting was motivated by islamic extremism. we will get moron that once a news conference starts. >> we told you a little bit earlier. the new mayor of philadelphia. doing something about that. the governor of pennsylvania has reacted to this. this intentional act of violence to help a citizen. we are monitoring this close. only because, the fact that so many signs seem to be pointing to the alleged assailant. whether there is a tourette's connection or whether he himself

is radical. you know, anyone's guess. authorities are now speaking in philadelphia. let's go there. >> the mayor, as you know, the local fbi office and some other folks here. last night about 1140, officer jesse hartnett was on patrol in uniform. he was ambushed by a male. this mail fired several shots at close range striking him in the left arm three times. despite being seriously injured, he exited his patrol car and chased the man. he returned fire and was able to strike the mail that was later apprehended by other officers. the bravery he demonstrated was absolutely remarkable.

his will to live undoubtedly saved his life. we are ever so thankful to god that he is here today. this could have easily been a police killing. the officer is presently recovering. he has some very serious injuries that will require multiple surgeries. our thoughts and prayers are with him and his family. the suspect in question, the 30-year-old male has a philadelphia address as well. he has confessed to committing this cowardly act in the name of islam. according to him, he believes that they are contrary to the teachings of koran. at this time, if we could pull the video. i want to show you something before the mayor takes the podium. this first video, actually not even a video.

it is a still shot. going towards police officer hartnett. already firing. he is literally inside that car. he has his arm extended. firing. i am absolutely amazed that the officer is here with us today. this mail fired at least 11 shots from a 9-millimeter at close range. he continues to run away. continues to fire. this shot right here is absolutely one that demonstrates his courage and bravery. he exited the police vehicle despite eating seriously injured. returns fire. is able to strike him at some point in time. again, his fellow officers were able to apprehend the mail. unfortunately, i will have to

tell you in the interest of full disclosure, the weapon that this mail used was a stolen police firearm. it was stolen back in october 2013. it was reported here at that is one of the things that you absolutely regret the most when an officer's gun is stolen and is used against one of your own. fortunately, again, officer hartnett is here with us today. we ask that everyone keep him in your prayers. injuries are very, very serious. at this time, i want to turn the podium over to the mayor and his comments. any particular comments for captain clark. >> good afternoon. our main concern at the moment today is the health and recovery and rehabilitation of officer hartnett. obviously, you can see the

bravery that he displayed. he and his family will get everything that they need from our police department and our city. in an effort to recover and be whole again. i want to complement the homicide division for the tremendous work. they are ongoing every day tremendous work. particularly, in this case. i want to bring this case to fruition. also, how our officers every single day are willing to do what officer hartnett has done to put themselves between us and the bad guys. that is the first part. second part is that no way do they believe it has anything to do with what you have seen on that screen. it is terrible. it does not represent the religion in any way shape or form. this is criminal with a stolen

gun who tried to kill officers. it has nothing to do with being a muslim or following. i will turn it back to the commissioner. >> i imagine you have a lot of questions. what i cannot answer, the captain or someone behind me will answer. [inaudible question] >> captain. >> we had the suspect upstairs. the homicide unit talk to him right away. he stated he pledges his allegiance. he follows all out. that is the reason he was called upon to do this. >> for what reason? >> he just kept on echoing those sentiments. [inaudible question]

>> i cannot comment on that. the fbi and homicide detectives and homeland security, they are executing search warrants. also, one in south philadelphia. not far from where the shooting took asap. right now, we do not have anything as of yet. you have an attempted assassination on a police officer. saying he did because of his religious beliefs. it was around the country. everybody came around very, very quickly to find the answers around a lot of questions i am sure you guys have.

>> let me just comment on one thing. i need to make something clear. the fbi works very closely with us anyway. i got a call this morning before we knew this information from the sec just offering his assistance as they always do. i just want to be clear about that. >> again, as the captain indicated, one of the things we hope from the search warrants, all of the federal partners and our partnerships that we have is to determine whether any of those things actually exist. we honestly do not know at this point. we're being as forthright as we can be about what we know. we know exactly what we do at this point.

[inaudible question] to your first question. three: shot wounds to the left arm is what we have. absolutely amazing that that is all he sustained. i cannot explain how he escaped that. nothing short of miraculous. a lot of that will be determined from this investigation. we simply did not know a lot of this. it stands to reason that there is more unknown then known. as we get it, we will make every

attempt to let people know what is going on. >> the police officer is 33 years old. he has a criminal record. the extensive expensive part is relative from what we see day to day. [inaudible question] i do not. not at this time. he, no, we do not know. we know that it was stolen. i have no way of knowing. he did not talk about it. it absolutely was. all i can say is it was a police officer's gun. it was reported as required. sometimes things happen. this is our protocol. from his home.

>> was he wearing a bullet proof vest? well, the grace of god, first and foremost. i cannot explain based on my beliefs in any other way. he has the will to live, as i mentioned before. he had on his vest. under those circumstances, i cannot imagine, almost anything that you could have could protect you. that is chilling. absolutely chilling when you watch that. if that does not make the hairs on your neck, it is scary. that is all i can say. [inaudible question] no. we do not have that indication right now. savvy enough to stop just short of implicating himself in conspiracy with anything.

even if one exists, we do not know right now. he does not appear to be a stupid individual. just an extremely violent one. obviously, by his actions. we will have to wait and see where the investigation takes us. obviously, that was one of the first thoughts that we had. it was only natural to go there when you see someone do that. something so barbaric. i never want to lay the foundation for excuses later in court. you do have thoughts like that, but we have not determined. >> you have no indication at this point. he was radicalized. he has pacific lee made contact. withdrawing from the state. the individual was radicalized.

>> we do not. i think that that was part of his savviness, if you will. stopping just short of implicating anyone else. i caution you to say that i do not know if there is or is not. he seemed to know how to navigate around just enough. i do not know what that means. he was just lucky. i really do not know. >> it looked like it to me. the matter that he did it. he certainly was targeting for police. he knew who he was shooting at. my god he had the way he got his arm inside that vehicle, he knew what he was doing. he was trying to assassinate the police officer. he has actually been released. i guess he is okay. for now.

[inaudible question] >> unfortunately, i will probably only be able to answer your last question. all of the rest would be me or speculation on my part. his left arm is a mobilize. at some point, he courageously fired back. i do not know how he did it. with regard to his condition at the time, he had to be very weak. he lost a significant amount of blood at the scene. we all know what happens when that occurs. again, a whole combination of things. everything involved in this.

it is astonishing that he was able to escape it like this. i cannot say enough for his bravery and how he conducted himself. he really demonstrated. what it means to be a police officer in terms of being a worrier. he has five years on the force. he was a lateral from another department. i just had a discussion with the vice president. everyone says in addition to the acts of bravery that are demonstrated here, he was a compassionate police officer. he stopped and got food for that individual son. the very person he arrested.

>> did he do this in the name of islam? >> he said a lot of things. for us, he clearly gave us some. we will try to connect the evidence we have obtained. again, he did not say a lot beyond that. it was not like laying it out completely chapter and verse for us. okay, he is leading the trail for us. i do not have an absolute for you. things i told you about. [inaudible question] >> bury even a civil about that. obviously, the detective asked that question. just lucky he avoided all of that. i think in some regards, there was a method to the madness.

i do not know who actually owns the house. [inaudible question] i do not think that it is common. police officers are citizens as well. sometimes things happen. it is unfortunate. it respective of whether or not or how comfortable you may or may not have been. it was your firearm. that is the bottom line. [inaudible question] he was able to strike them. other officers responded and put him about a block away or so.

>> it just came out of nowhere and started firing. started moving towards out patrol car. we know that he just, you can see him from across the street. he has already started firing. there is no attempt in that regard. he just started firing. one name and one name only. to kill. i do not believe there was anybody else out there at that time. i did not see anyone in the video. i do not recall seeing that. that is how the pd actually operates. in our department, we have

historically done that. we make adjustments. you know, just one way we patrol. we changed it last night. whatever you have, an incident like this, all fears are heightened. rightfully so. we want to relate the concerns of the men and women. as much as you can with the situation. this is a dangerous job. this video, this incident just captures the essence of that. what they do with and are faced with. you never know what that next encounter will be. with respect to him and his family, to be honest to you, there is a sentiment of not giving this person more than they deserve. i am a little concerned about what some other people may see when they watch this video.

these pictures captured the essence of what it is. you really are not missing anything. you are seeing the incident in its entirety. the only difference is those pictures are moving. i do not think it is necessary this morning. [inaudible question] >> i do not know. obviously, we work in conjunction. we are not the experts on that. you would have to ask them about that. they want to work very hard to uncover that. i have all the faith in the fbi and homeland security. [inaudible question]

>> i would qualify that by saying i just do not know. hesitant to jump to conclusions one way or another. we will also see where the investigation leads us. again, we have indicated we have yet to complete the search warrants. hopefully, in conjunction with the fbi's investigation, we will uncover something else. we just do not know if a lot of those answers at this time. i do not know whether it was muslim clothing or not. i do not even want to jump out there on that limb. we have already established. >> we will e-mail. you have an opportunity to see

it as well. that will be coming out very shortly. neil: a better idea of what just went down. it was scary. four police officers, very scary. he survived it. the cop survived it. he was able to down the assailant. trying to shoot the officer a couple more times. he may be on the loose and no one would know who did this. he will be fine. he will need multiple surgeries. he will be okay. a 30-year-old man. apparently claimed and allegiance to isis.

apparently, apprehending him. he believes they are contrary. the teaching of the koran. more use of firearms. how many hands crossing through before ultimately ending up in this assailant last night. much has been made of what the attacker was planning. others, muslims, that may be a point. doing this in the name of islam. you have been seeing and hearing a lot of this. amber smith. you were booked under different circumstances. this comes back only a few weeks after san bernardino. we know there are various elements here. he knew anybody or was working with anybody. too soon to tell. scary stuff.

what do you make of it? >> he were covers. what we thought today is straight out of isis playbook. isis has publicly called on all followers of islam to attack nonbelievers. isis inspired. acts of terrorism. or some sort of direct affiliation with the terrorist group. in the name of islam. unfortunately, what we have been seeing in europe, what we just saw in germany and france and israel, the war is now in the united states of america. unfortunately, going to continue. >> all of this transpired last night at about 11:40 p.m. driving through the intersection in west philadelphia.

from some distance, firing at the officer. point blank range. at least 13 times. the officers survived. if this looks familiar to you, it should market back when officers were shot. the terrorists had attacked a british soldier. killed him on the streets. for they themselves were apprehended. each and all their different incidents, the same scary delivery. that is the part that worries me. what do you think? >> it is.

by different terror groups. an actual different style of the tab. their results and what they are looking for in terms of an outcome is the same. it is to terrorize the west. go after people that do not believe in the same religion they do. it gives the enemy be upper hand. start to be proactive in areas that we can actually go after them and heard them and hopefully prevent these styles of the tax from occurring. neil: thank you very much. your patients switching to this so quickly. connell has been getting more information on all of this for us. one was the fact that the gun was stolen.

the gun was stolen in october 2013 from another police officer's home. the other thing that obviously you and amber have been talking about was to the motivation of the shooting of the police officer. listen to this. >> the suspect in question is a 30-year-old male. i believe committing this cowardly act in the name of islam. according to him, he believes that they lost is contrary to the teachings of the koran. connell: richard ross of philadelphia. another police official step to stepped to the podium and said that this suspect had pledged allegiance to the islamic state in his comments to the officers and said he was quote called upon to do this. there is a suspect. running away from the car.

the heroic police officers story, it is quite remarkable in and of itself. the 33-year-old that was shot. shot three times in his left arm. exiting his own police cruiser. able to run after the suspect. firing at the suspect. helping. he is now in police custody. the officer. neil: when you look at that video, had the sale and not try to shoot them again when he left the scene, he may have gone away. that allowed enough time for the officer to get out of the car. imagine that. we still would not know. >> we would not know where he was or what happens. we probably still would not have

access to this. imagine being a police officer on patrol by himself. just driving through. the car was moving, by the way. this guy just comes out of nowhere and just start shooting. to the point about the larger motivation for all of this, amber was exactly right. the isis playbook, they have called upon people who have taken it upon themselves. that is what motivation was. he was motivated by islam. that does not mean he was directed, of course, by the islamic state. that is what he said. neil: okay. connell, thank you. we will have an update as it becomes available. the mayor of philadelphia has arranged the gun issue. in fact, it turns out that this guy had a stolen gun from a police officer.

how he got it, we do not know. more than guns on the street deal. stolen guns from a police officer. we were told that officer apparently was reprimanded, whatever. again, this was a police officers stolen gun. all right. we have former fbi specialist manny gomez on the phone with us. what do you make of this? >> be able to be shot three times and not only be able to survive that, but returned fire and apprehend his assailant is remarkable. the stuff that hollywood movies are made of. kudos to him. he was a hero. it could have been very easily out there. possibly being able to attack somebody else. thank goodness that this hideous

person attempted to kill this officer is under bars. >> what do you make of these islamic ties? i actually poorly worded that. now in philadelphia. let's keep in mind just recently rochester we had an individual to pledged allegiance to islam,

to isis and want ad random attack during the holidays. because of good work of law enforcement he was able to be apprehended before he launched the attack. this is new norm. you mentioned something before, see something, say something. we need to be very vigilant as to who our neighbors, our coworkers, our colleagues are. if there is a turn in out they're thinking what they're saying and be able to report it to the authorities because this is not going to stop. neil: i'm sorry, my friend. one of the things that comes up in this, targeting, assailant targeting police in the name of islam and connecting police with egg green just behavior that has to be stopping do in the name of islam and targeting police was the perfect vehicle to do so, the reason why i raised it, we had all these incidents of officers who, you know, used excessive force.

not much attention is paid when police officers are ambushed. i guess in 2014, most recent year for these statistics, 15 officers were shot and killed in ambushes, more than any type of shooting a record number killed on the job collectively over the last two years. having said that, do you think that there is this sense of feed on the anti-police sentiment that builds in some communities and on the anger that might have play ad small part, maybe a larger part in this? >> absolutely. the favor of the month is now to be antipolice. in the last 20 years the police departments in the united states, especially in the big cities, have driven crime down through to historic proportions. instead of complaining about too much crime in inner-city

communities and as well in rural areas as well, the complaints are police brutality and allegations there off. like the attacks in september of 2014 two new york city police officers being assassinated in public view without any warning or any reason, outside of there being anti-police sentiment. a lot of public figures unfortunately are think playing into that anti-police sentiment for their own political gratification. and so here we have yet again, another innocent police officer being attacked for no other reason where islamic angle. kill police officers. killed soldiers kill americans, join the cause of that way. there is also a component as you said of, neil, of the on

anti-police sentiment going across the land and everybody buying into unfortunately. neil: very scary stuff, manny, thank you for the time. we appreciate it. be well. >> thank you as always, neil. neil: we're getting something south of the border right now. a tweet originally in spanish but interpreted here, mission accomplished. we have it. i want to inform, this is from the mexican president that el chapo has been arrested. notorious drug kingpin, a man who threatened donald trump for his remarks about mexicans. that the drug lord known as joaquin lopez, better known as el chapo. when he broke out of this high security mexican facility there were very clear indications that he had a lot of help. we don't know where he was apprehended but he is behind bauers. one of the world's most wanted men is now back in custody.

we have a lot going on there. we have a lot goings-on in the philadelphia. ashley pratt, dagen mcdowell, mark serrano. begin with you, mark, begin on this notion that we've seen incidents of ambush attacks on officers. sadly they're not new. wrinkle here in the united states is this might be done in the name of islam. it could could be a lone kook bt rejiggers old attacks lines from a few weeks ago, san bernardino, they're here and they don't mean to do good. what do you think of this? >> neil, relates to the same thing, we are less safe today than we were seven years ago. it's a feeling people have. it is real and valid and validated unforfortunately by ts incident. it will be a big topic at your debate and it should be. democrats and liberals are

really compromised in a lot of ways. they support "black lives matter," which is anti-police in so many ways. they talk about gun restrictions against law-abiding citizens and refuse to talk about radical islamic terrorism. this confluence of issues that lead to conclusion that says we're not as safe today as we were seven years ago and it is completely validated by these incidents. neil: ashley, what do you think? >> i completely agree with that statement. i mean it is very hard after watching that town hall last night to think we're doing as much for, you know, isis here in america as we are for gun control agenda and that is exactly what the issue is. we a president willing to peddle everything to save his presidential legacy but what are we doing to protect americans here at home? one thing to do is allow americans to be armed and defend themselves in rogue situations. we don't know who isis is tapping here in america. fbi and terrorist task forces do

the best we can to identify that but i don't think we're taking enough steps to be really serious about terrorism here at home. it should be something talked on the 2016 campaign trail because americans are concerned. americans are afraid to go to the mall. i'm afraid to get on the metro. i never know what is going to happen. not being able to arm myself in dehe is is something of concern to me. neil: easy to jump to political conclusions both ways. the one thing i found surprising dagen, within nanoseconds of this coming out the new philadelphia mayor talking about all of the guns out there and irony of this case it is true and don't dismiss what the police commissioner just said, this 30-year-old assailant at a stolen police gun. so he got it from a cop, stole it from a cop. i don't know if that makes his point, but what do you think? >> i think this instance, if this gun was stolen from another police officer not one new gun control regulation would have

done anything to prevent this man, this violent criminal, this terrorist, from getting a again and shooting this police officer. people are very, very quick to try to make their own political point when anything happens. that goes for both sides, neil. i do watch as you do all the time the stock market. and more and more in the last few days i've been asked by people, why in the heck is the market down so much? we need to look at the american people. as ashley was pointing out, as mark was pointing out, do we feel safe in it country? if people don't feel safe, and they retrench and they stay home and save more and don't spend, that in of itself, change in confidence, change in behavior can cause recession. that is some of what this market is telling you. look at that great jobs report we got this morning from last month. market barely budging. worst start to a year ever, right? neil: very good point. thank you, guys, with all the

breaking news. just to update you a cop shot 13 times in philadelphia will be all right. a drug pin in mexico going back into the slammer. el chapo, you're finito. more after this.

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west philadelphia, officer jesse hartnett, ambushed by a man who claimed he committed this act in name of islam. you're seeing still pictures of this act. he pledged allegiance to the islamic state when interviewed by the police. he came he was called to do this. he shot at this police officer close range 13 times. he hit him three times in the arm. but the officer, officer hartnett, as photos show he managed to get out of the police cruiser. even after being shot, he runs at suspect, shoots at the suspect and helps in the apprehend shun of that suspect. we learned the gun used was stolen from a police officer in 2013. more "coast to coast" when we come back.

neil: all right, el chapo goods man. they call him el chapo, world's most notorious drug lord. mexico's second richest citizen after carlos slim was on the lamb seven months after escaping from prison. he was one of the biggest drug runners ever, ever. u.s. authorities want to get on him because of the cocaine traffic he masterminded a lot of dead bodies along the way.

he broke out in the prison, had a lot of help, breakout was orchestrated many, many months, from this run for authorities. that he wanted to target donald trump especially when he heard that trump was bad-mouthing mexicans and further saying that he wanted to build a wall and mexicans would pay for it. chapo went nutso on that, that said his cause outside of prison would bring down "the donald." mr. trump can relax for the time-being el chapo is now in jail-o, likely rest of his life-o. i see picture of these guys too, like el chapo, pictures do not tell tell the story. that doesn't look like a drug lord. maybe it does. i've seen others very friendly, warm, cuddly, anything but himself. nypd officer on that what to make on that. we always feel better when we take someone in of that note rye

at this, but obviously had a network of buddy, friends and connections. so what happens now? >> well, i mean look, this was a guy, they were able to build a tunnel, put essentially railroad tracks in there and moped with clothing and weapons and i think money along the way. neil: is that right? wow! >> that is the intelligence i saw on his escape route. neil: if only the in upstate new york had that kind of help, remember that. >> you're exactly right. el chapo is something like 5'4". not imposing. neil: i know some of these villains, if you look at al capone in his day, this guy was compared to al capone you would never know he was such a lethal character. who am i to talk. >> vicious guy. billions in revenue yearly. i read, 6, 7 billion. neil: that drug running empire just didn't disappear, right? it is still there, the reason why u.s. authorities want to get

their hands on him. someone is running this or breaking up or sharing the cocaine kingdom, right? >> look it is like la cosa nostra, italian mob. when certain major players went to jail it doesn't go away. guzman had captains, lieutenants, street soldiers. there is whole network of management in place to take over even if he gone or killed one day, whether he is in jail or dead, right? always somebody there to step in leadership role. neil: you're right about that. he has a lot of loyalists who, to your fine point, clearly a lot of help when he broke out of this facility which was apparently top security facility, again you know far better than i. who is to say he doesn't do it all over again? >> you you got to use the maximum security, top security in relative terms talking about mexico. really not the u.s. neil: yeah. >> and corruption there for better or worse. donald trump is right in many respects, corruption in mexico is top down. not hard for a guy like guzman

to bribe senior police officials. these guys don't make what senior police officials here make, six figures. they make tens of dollars an hour or less. that is really high paid guy, tens of dollars an hour. it is not too hard to influence them with money. neil: maybe el chapo can build the wall. >> he has the money. neil: relieved he is back behind bars. i appreciate your dexterity moving to this subject. you heard of what happened in philadelphia. that is still not resolved. that is very scary. the officer shot will be okay. that is relief, amazing stunning relief, but the bigger question of what the mayor of philadelphia had to say about this within would seems like nanoseconds. he blamed guns. ben stein said that was the w first mistake, after this. happ, and it's not in oil and gas, it's in energy storage. pure energy is based in nevada which is home to the only producing

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>> he stated he pledged his allegiance to islamic state. he follows allah. and that was the reason he was called upon to do this. neil: now we just want to know if this assailant last night who gunned down a police officer, miraculous the police officer will be okay at a time the mayor of philadelphia said we have to do something about guns. only to discover the gun assailant used was police officer's gun that was stolen. ben stein and adam lashinsky on all this. ben, what do you make of it? >> i make it of no mat are how strict gun control laws, if somebody steal as gun on policeman and use it on another policeman couple years later i don't think any gun control laws will stop that when criminals want to get guns they always can. gun control laws only apply to the law-abiding. neil: what do you think? >> i completely, completely disagree. of course what ben says is true,

someone steal as gun from a cop -- neil: why do you think you said you disagree? >> we should do everything we can to restrict guns from getting into hands of criminals. neil: that wouldn't do anything in this case? >> in this case. there will be many more cases where this is not the case. try our best to have prudent policy. neil: i'm guess, what i ask you whether you think this mayor, no cruel gun intended jumped gun statement and when he should have shut up? let him finish. i go to you, ben. >> i beg your pardon. >> this kind of violence is opportunity to discuss why we need more intelligence. neil: no it isn't. no it isn't. you know that. go ahead, ben. >> wait a minute. when did he get that beard? when did he get that beard? >> don't change the subject. >> he is hippie. now he is a hippie. >> look, you have background checks.

can have every kind of check. put restrictions on gun show sales. put restrictions on ordinary flee market sales. criminal will be always able to get a gun. only people affected adversely is law-abiding citizens. when guns are outlawedded only outlaws have guns. law-abiding citizen like yours truly i or adam should have a gun. the fact criminals use it should not penalize us law-abiding people use them only for our own protection. neil: go ahead. >> if i may, i mimic what the president's line has been on this of course you and i should be allowed -- >> why should this be any different? >> because we need stricter policies that can help stopping them. you know, you and i should be able to take legal drugs but we should not be able to buy methaphetamine. even though it is widely available we keep trying to stop the use of methaphetamine. and we should. because it is bad. it is really bad.

>> has nothing to do with this whatsoever. we love you, adam and hippie beard. doesn't have anything to do with methaphetamine. >> it isn't a hippie beard yet. >> keeps his gun next to the bed in gun safe why should he or she be prevented having a gun when criminals get them. -- guns for criminals. yes, you want to arm criminals. neil: we resolve these. >> just kidding. just kidding. just kidding. neil: i appreciate that. i don't mind the beard. i think -- >> happy to help. neil: we have a lot more coming up. >> i don't like the beard. neil: duly noted. we'll have more after this.

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neil: on a crazy day today. economic developments. look at these markets right now. they are down. trish regan. all the cross current.

i cannot figure out why they are doing what they are doing. trish: thank you very much, neil. breaking this hour. ambushing a philadelphia police officer in the name of muslim. pledging allegiance to isis. i am trish regan. welcome to the intelligence report. he was in his patrol car. he was fired at at least 11 times. just how brutal this attack was. >> it is a still shot. >> going towards police officer hartnett. already firing. the second shot is inside that car. he has a second arm extending.