>> that lovely baby there is a when crafting your tuesday morning, seven pounds, two ounces. mom and baby are doing well. welcome to the world coming to a when you're great to see you arrive. our time is that good neocon it is yours. trent is to recommend thank you very much. investors say they are increasingly convinced, but there are those who say only bad things can come of a trunk presidency in a month and even talking up impeachment. for now, let's get market watches. why many on the left are not giving up on this issue of taking down donald trump. in this case before the guy even assumes office in what is the goal? >> yeah, it is pretty comical. if you look at the average to

change the vote, they had no chance of succeeding and now they talk about changing the whole electoral college system. look at the simple fact that you need a constitutional amendment which the probability of that happening is between europe and 0% with replicated in charge of the senate and last we checked there's a lot more red states and blue states. it is just a distraction from the election outcome in an attempt to discredit the trump administration and make it harder to get policies through. >> any move on the college would not affect donald trump coming in regardless. when you look at these crosscurrents in the link someone ago to make life as difficult as possible for donald trump, it is a sign of things to come and the friction that will not go away on capitol hill. >> i think you are right. will go to any length to discredit him and take this election victory away. but let's face it, the american

voter has spoken. our markets are showing that people are very positive about this election and i believe the market is going to hit the 20,000, but i also believe that markets surge is due to a motion. the numbers will have to shore up in trump has taken office yet. he's going to drain the swamp. let's swamp. that's a separate entry in the swamp, the swamp stinks and imad will have to try out. so i believe i may start streaming the swamp we will see some volatility in the market. i am hoping for the best. that being said, everything to mr. trump has been out of the ordinary. true into you can never prognosticate these things. one of the things that interest me about what happens with the markets and their 10% now -- is that they got a little ahead of themselves and maybe that's

what's going on. no way to protect rather 20,000 hobbits in the hour or they say are the next week, but it's been upgraded and in some would say too much too soon. what do you think? >> i don't think so. i think that the market is transitioning from an interest rate driven to a bull market increasingly evident that increasingly evident as bad as we can into the next 12 months. the comparisons will be very easy quarter over quarter and you don't know what pop is going to come from the reduction in the corporate tax rate. for every 1% drop in the tax rate, you add $1.31 to s&p earnings. it's conceivable they are at $130 as well. so anybody in this business is in the wrong business.

neil: to that point, everyone no-space at home i trust, but i will reemphasize that the market is looking at this as something that will make the market more affordable, that if donald trump were to enact a lot of these measures, it's not an expensive market. they are not that out of whack and all of a sudden the market could have ample room to take off. are you in that camp? >> i am a nokia. neil: what you like about it? finish that thought. >> i just spent two and a half weeks and try and take a greek restaurant any night of the week. the underlying economy is stronger than the government figures suggest. >> does that tell you the market is strong? i wait forever trying to get into the olive garden.

what are you doing that i'm not doing? >> gdp is going to pick up towards 3% is beginning to the back half of this year. corporations are lean and mean. they've cut a lot out in the middle line of the statement. the revenues have started to hook up in that will fall through the bottom line. neil: what is really weird about the market is how much the financials have driven. someone and i'm wondering if it is to wait it out. all the factors seem to benefit the least technology but that was a nice run with the election. what do you make of the disproportionate role and money centers in us. fundamentally and it dramatic

yield curve for men in profits. you've also had expectation of rate increases much faster than if hillary had one which is obviously good or big earnings. on top of that you have regulatory relief which is more targeted so you put it all together you are due for a pullback here. as sending the yield curve stays as steep and the fed hikes three times next year is very, very favorable. financials got killed for years and never rebounded and now they are fighting to have some upside from improved fundamentals. neil: you are referring to cap to interest rates, long-term interest rates. angela, do you think that when they get past 20,000, not a matter of if, but when i'm but when, next-line a 5000 all this bullish talk for people who are

very tentative are now going very not kindness and maybe for good reason. >> well, i agree with everything he just said and i really see a lot of positive things moving forward. i just think we differ a bit on our timing. when mr. trump takes office and he starts making all these changes, especially in the health care sector because that's one of the largest is that the economy, you will start seeing some volatility. long-term there is going to be a lot of growth. i for one and very excited about the economy coming out. i think when you start making all these changes, initially there will be some volatility. there will be some pullback. we don't know, but i agree that everybody is excited at the investors excited. i am willing to withstand whatever i have to to get this mess cleaned up. you know, knowing that i have a leader that has the guts to clean it up.

and the know-how, let's not forget the know-how and the business acumen and experience remain in place an order to get it moving again. neil: drain that swamp. thank you. >> thanks, neil. >> could this economy be the thing that silence is the critics once and for all, the marketed and suddenly surging gdp but all of them to rest your charlie gasparino is looking into that. that could decide a lot of this bickering back and forth. >> what is interesting is if you read some of the newspapers right now, some of the magazine from blog posts in the mainstream media, just a lot of stuff about them and donald trump. i mean committee of molière, i can't say the word. i spelled it right. to emulate clause in the constitution which says you can't get guess if you have a business in foreign leaders of collegial impeachment. there are serious people that are trying to write this eerie.

neil: there's a legislation that would change the words on which you could impeach a president if there is the conflict of interest. that would be enough to get high crime misdemeanor. >> we should point out the left will try to do that. there is no doubt. i went back and did research on bill clinton. tumultuous two-term president left with very high approval rating. i focused kind i'm on some of the news stories after he got elected. it is the year or maybe less than a year after he got reelected that the lewinsky scandal broke. if you go through the clips they were grand juries. he was basically going to get nailed. for perjury and he didn't. the reason he didn't quite frankly put the dow and the nasdaq chart a 97, 98, 99th and put a gdp unemployment rates and you will see the reason he didn't. he basically adopted tax cuts,

regulatory reform. welfare reform and people said, we don't care if you buy to a grand jury. neil: in other words commit the environment can make a big difference. poor richard nixon, watergate didn't have that. >> he didn't lie to a grand jury. he just destroyed the tapes. irs going after people, little things like that. but it's fascinating, there was substantial evidence. i was covering this at the time that "the wall street journal" on the news side. it struck me as so insane that he was basically been tried for perjury and there was ample evidence that he purged himself not just in front of her regular court, but in agreeing jury, in front of a grand jury.

that is a high crime. >> there was a debate about whether live to an affair with a woman counts as high crime but you're right. i always wondered if after next and there is the same let them off. >> the outcome of the public opinion is overwhelming. we not trust them, but don't throw them out. that was a great headline. here's the thing and not as all-time has to do. that was a little funky right now. they are worried a little bit. is he going to have a trade war with china. we get that. is it going to do massive infrastructure which up the deficit causes long-term interest rates to rise even higher to the point where people get out of stocks and into bonds because they price in a recession. those are all potentials. neil: if you are making money, doing well, you can deal with whoever.

>> the stock markets, economy bouncing back, he can run a brothel out of the white house i believe. neil: i don't know about that. he can do what he wants. i think he could run -- i don't know what that guy is talking about. neil: you only go to the restaurant -- >> it is very -- neil: the lucky guy. >> nicole petallides goes there. she knows the food is good. the menus in english. >> when you go to italian restaurant the menu is in italian. >> i went to cap you know last night. i get grilled chicken with ketchup. that's my favorite dish there. >> understood. i guess i'll see you at the olive garden. thank you, my friend. charlie does go to phenomenal

places. >> they don't now. the same expense account. neil: $900 for a tip? coming back more details on the underpinnings of the market and why the markets and by and large in a week of pretty serious threatening terror attacks. why is that? and should you be worried about that? after this.

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>> we are learning more about this, showing his police i.d. to avoid going through metal are. can you believe they were making in the tank. you have to go through the metal detector that was going to

feature the russian ambassador. he said no, showed his i.d. and the rest of the story. berlin, meanwhile, a manhunt underway as officials try to seek a tunisian man with a trumpet taxpayer. supposedly part of the initial wave of refugees and was trying to seek asylum there in indications that they would not allow it. the former secretary of defense, paul wolfowitz on all of this happening at the same time. ambassador, good to have you. very confusing now because this is happening in the season were not people are getting increasingly restless, particularly in europe. would you think? >> we see here in the u.s. in our pursuit of people where we already know they have a lot of labels on them. a 12-year-old boy in germany a few weeks back who was caught for the second time trying to

plant explosives. apparently both times he failed here because he's under 14 they are not prosecuting him. there's no words words they are surveilling his parents. i understand why the germans don't want to go back to nazi methods, but they need to be much harder on these modern-day nazis. neil: you really do so to your credit, but you were speaking to a german newspaper saying the only way you can be comfortable to think he does that mean anything he says source security has good relationships with allies and how he was for vladimir putin. it worried you so much sad that you might have to vote for hillary clinton. >> well, i didn't. >> you are raising concerns.

donald trump one regardless. and he's been elected president, would you think? >> i like the appointments. particularly general mattis. i worked with him at the pentagon. the tough-minded guy, very knowledgeable. he will be giving very good advice i'm confident of that. i've heard very good things about general plan for people who work within who say his concept of national security advisers but i think it should be rich as it is not his job to be the grand strategists. it's his job to get the cabinet departments to present clear, good clear, production and then the president should be deciding. that is all he could find. i am still worried about putin and a tendency to take them as a matter that will kill terrorists when he is a man go around creating terrorists and that's very dangerous.

so that part makes me uneasy. neil: i'm sorry, ambassador. that affinity or closeness, whatever you want to describe it to say that even help grease the skids for donald trump. i think that's a little extreme. having said that, rex teller sin of exxonmobil to be secretary of state. a gentleman with close ties to the kremlin and mr. putin in particular. does that worry you? do you think a trump administration would be loath to take on the russians or even criticize them? >> well, obviously in his confirmation hearings, secretary designate teller sin will have to get a clear account of how he views russia not from an exxon point of view, that the u.s.a. national interest point of view. i will be very interested to see that. i understand it's a thoughtful intelligent and so i suspect he will say thoughtful intelligent income will have to judge them.

i am actually very favorably impressed by what the president-elect has said about the need to create safe zones and fled europe or they are frankly very destabilizing. neil: ambassador, over the many years i talk to donald trump. whenever he thought about russia and he did bring a pressure very often, he was really much more can earn, angrier at china and given that china has been doing in the south china sea and militarizing all these islands that aren't even dares, the fact that donald trump has said they their currencies so they rigged trade with us and we were always on defense and they are far more a threat he seems to be saying than any other country on the planet to the united states. do you agree with that? >> well, i think we face three countries that want to re-create old empires.

the persians, iranians, russians and chinese. in the long run, china is likely to be the more successful country and more dangerous. you have to choose your enemies. you can't take them all on at once. i do believe it's a mistake to run away from the middle east as much as it is tempting to do so because it is such a wasteland. but people should remember that virtually all of the oil that flows through the south china sea where we are at odds with the chinese originates from the persian gulf. you can't give up one of focus on the other. you've got this idea of pivot in which the obama administration pursued it in my view nonsense. the reasons they are so interconnected you've got to pay attention in the middle east and it is very difficult. neil: ambassador, how do you think donald trump will do? >> well, i can tell you i'm hoping he will do well.

i thought his initial move, it was a small move but it signaled a lot with taiwan, which is as far as i know the only democratically run chinese entity and history. it's a magnificent example of where mainland china and i think we've gone overboard overinterpreting with the so-called one china policy means. it is complicated. i was the assistant secretary of state for four years and i know how complicated it is. but there is a lot of room within a proper framework to expand our unofficial relations with taiwan and take in a congratulatory call from their president is not a bad way to start and show you are going to that. neil: you think is calculated into the risk in controversy? >> well, i hope they did. it clearly was calculated. i hope they recognize there will be blowback in to retrieve. to be honest, president reagan made that mistake i believe in

president george w. bush made the same mistake. starting up a strong position and frankly i'm glad it wasn't such a strong position. the kind of things that should happen now are not big old steps towards taiwan. but things like sending the secretary was something done that can be interpreted within a relationship and i hope they will persist in not low-key but clear messaging. neil: ambassador, thank you for your service to our country. we appreciate it. i have to tell you, working with people like jim mattis which i got the privilege to do was just the high point of my life. >> next time you have to tell me how you got the title. that's to be continued. always good having you. be well.

the president is back as catching a black right now are opting as much as his private security at the cannes working with the secret service.

neil: talk of inauguration protests is not too surprising. the permits have already been thought cut to make sure protests go on as scheduled. that's a little alarming to former secret service agent says that is something that happened that inaugurations, but all of this at the same time. we've got trump saying he might keep a lot of his private security detail working with the secret service. how would that go? >> i'm so glad you had me on to talk about the story because it's probably the biggest scam story i've seen so far in 2016 amounts of bold statement.

i really believed this was "politico" who started this story. anaphora by them to foster this narrative that trumps private security forces some kind of a symbol writes worse out there to take your rights away protest. it's really a made-up story. the private securities story, these guys are functioning right now and staff roles. they are not armed, they have no law enforcement powers. they are former fbi, n.y.p.d. people who are at in a hammock type role. i am hearing from many sources that it's creating no problems at all. politicos trying to stir the pot with this one. neil: obviously when he became the presidential candidate, he had protection quite early on. as a billionaire and his own right, successful businessmen, some sort of security in place. obviously nothing like you would get now as president of the

united states, but how do they coordinate that sort of thing? he would be a different kind of abe used in that he is a successful businessman can actually would have protection security in its own right. how would that work? >> i'm glad you brought that up because that is one part of the story that is factually correct. he is the first really wealthy businessman to take office in 50, 60rs. known as had these assets before. although we've had security, george w. bush has the texas state troopers for his security detail. his father was a better president and secrets before. we've never had someone come into office with their own private security team of former fbi confirm or n.y.p.d. people. legitimate that transition ,-com,-com ma there is no provision in the law whatsoever anywhere, nor is anyone talking about changing that for security

armed law enforcement take security that the secret service to be handled by anyone but the secret service at all. these guys are just working in a staff handler type role. i think "politico" is really trying to get this story out here that trump is a brewing tirade and that's why they had the hotline with private security. >> one quick thing i have to ask you now. virtually every inauguration since ronald reagan aside protests. the first one had quite a few, but they seem to be well off the capital stage far back i don't know how far they have gone, but i do know a good number of permits have gone out to allow them. how does the secret service coordinate that with washington police and what have you? >> it is tough, neil. personal assets are zero-sum.

if you haven't agent handling of protest that gets out of hand, he's not handling the purity and the sad part about this is me having been a number of operations is this is a far less phenomenon. i remember barack obama's inauguration day religiousness headaches for their largely nonexistent thankfully. i'm not suggesting otherwise, but what happened in 2001 and 2005 at the bush's inauguration, egg throwing, disruptions is really unforgivable and takes away from the event. it is really shameful stuff. >> they had the right to protest. if they are throwing things, that becomes a whole another matter. >> yeah. we bring in all kinds of assets from out of state. the winds up happening is you absolutely have the right. once you pose a threat or try to stop the motorcade route, you're not a protester anymore. then you become a criminal and it takes away the assets. >> thank you very much.

good seeing you. >> u2, neil. merry christmas. neil: to you as well. despite like twitter, youtube and facebook galvanized nutcase is to do badly, even murderous things. i want you to meet a lawyer who is convinced they do. ♪ how else do you think he gets around so fast? take the reins this holiday and get the mercedes-benz you've always wanted during the winter event. now lease the 2017 gle350 for $579 a month at your local mercedes-benz dealer.

but

neil: to remember the fellow behind the orlando nightclub shooting that claimed nearly 50 lives and with so many dozen others injured. now, a lawyer representing some of the big guns families have come out suing twitter, facebook and google for providing material support indeed material support indeed the entities they need an inspiration to let him do what he did. but this right now, the man representing where all this went down, keith altman. thanks for coming. >> thanks for having me. how are you? >> i am fine. the gist of this if i hear it correctly as twitter, facebook, google or youtube provided the means to inspire and elevate the attackers, right? >> that is correct. at my firm we've been looking at this issue for quite some time. these sites provide material

support by allowing them to use their site as an instrument to conduct terrorist operations, to raise money, recruit radical as individuals and that's one of the purposes which is exactly what happens here with someone. >> did they raise the money on the site itself questioned eric did someone use these or communicate? >> well, there's controversial evidence in terms of exactly what his relationship was. what is not controversial as he reviewed information and it appears he was radicalized empire. the whole claim is not based on the direct relationship between google, facebook, twitter and the atlanta shootings that they provide material support to isis. since the stated goal was to recruit radical as people, that makes these companies liable. it doesn't have to be a direct connection, but a relationship. neil: that could be a stretch. you could be saying the same

game makers like xbox or playstation that have particularly violent games that inspired violent behavior later on a kids who are predisposed to that. it's not there? >> not at all. one of the absolute stated purposes is to recruit and radicalized. they then used these tools to do so. these companies know that their tools are used for this purpose and direct inc. these companies can do is to help lessen the ability to use their tool. that the connection. i don't think anyone would argue that with the intention to make violence. >> how do you draw the line at eckstein out isis operatives there anything that comes even in the third-party way over a site without screening that site and censoring the site. it's not with these guys are afraid to sleep till?

>> first of all, these companies to censor as they see fit. there is no first amendment right to censor. it is there as they see fit. one of the important distinctions is these companies are creating the content. we are not optimal for what's been posted. there is an isis posting. there's a viewer based on what they know about me as a viewer and what i'm looking at, these companies have algorithms that targeted them to me. when they do that, when they take opposing and put them altogether in the same place at the same time, they are creating new content. they are not simply passing through the information that somebody else provided to them and they want to escape responsibility for that. what you have here is a situation where companies are profiting from the targeted advertising and in some cases it appears they are sharing. >> the advertising dollars. not the fact that the

sympathizers might be communicating or socializing on let's say facebook. that's a very big difference. >> there is a difference, but they were certain behaviors indicative of nefarious act today. we taken hundreds of thousands of accounts. that is weed whacking. all the dandelions in the next day brought a bunch of dandelions. you have to get at the root. what you see is very clearly pointed out. there was an individual on 146. he had taken down 145 times before that and the next day he comes up with 146, 147. >> what if he was already a knot? this was talking about the father of one of the victims and yet this guy was also talking about my life has not been easy dealing with prejudice that i've encountered and how that gets

elevated when it's emboldened by a terrorist group when it's already a nutcase. he's already crazy. >> so why pour fuel onto the fire? people, stay calm. they've been exposed to the same materials. believe me, i'm not condoning it. other nutcase says, other lone wolves if you will who have not been affected by the outcome of that are just crazy and it's not that it didn't take them to the next step for the attack. >> that is true. but that doesn't in this company should not do what they reasonably do to prevent isis from doing their site as an instrument to conduct operation. you and i are held to a reasonable standard. these companies have paid the hind section 230 of the acts claiming we are not responsible for anything that goes on on site. we can act recklessly and

there's nothing you can do. >> is fair to say he was radicalized, it seemed to me already, more so after being on google, facebook, twitter. are you arguing both sides with the crazy murderous guy he became? >> what we are saying is that contributed in part to his actions on that day. whether it was the sole cause for a partial contributed to that is something found out on the road will take a look at the entire situation. but people have responsibility. do what you can reasonably do. then we can get down to the nitty-gritty details of whether he would've done it anyway or not. if companies just stand back and say it's not our problem. we have a get out of jail free card. i think it is unacceptable this company should simply hide behind section 230, not do

anything to endanger the lives of americans when they could do some things that would substantially mitigate. neil: the legal argument as well. a lot more after this.

>> i am nicole petallides with your fox business brief. people are saying come on down 20,000. once again 14 points away today. but now back in negative territory once again pulse us

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neil: or you're not paying off your college loans, let's say you're approaching retirement, and do not be surprised if the government just takes a check or a big chunk of it because you have not paid your college loans. two millennia else, charlie shimkus and charlie kurt. is this fair or right? we were talking during the break but it amazed me usually if you are getting social security in your mid-60s, so it has been 40 years plus since you left college and you still have to pay those loans back. >> exactly. what is most interesting is not only the period of time, but

assigned for troubling things to come. 40 years ago in the cost of college was dramatically lower than it is now, if they are garnishing social security checks for seniors today, imagine how bad it is in 10, 15, 20 years. it is a broader point that no one else in young people in a bar in the tens of thousands of dollars at the government in some way mike garnish future earnings or benefits from them. it doesn't compute how 40 years ago someone can lose something. >> assuming it's accurate, is that right? >> i don't think it's right, but this is not the first time we've done stuff like this. if you don't pay child support, we'll give it to the person even if it's yours and yours on the road. this is the avenue. >> we've been blaming your responsibility. >> the biggest problem is the government is handing out too many student loans. the average student graduates

$30,000 in debt which means they have to pay $300 per month for the next 10 years. college is important, but the biggest issue is the mentality is that it's for everybody. marco rubio way back when made a very good point on the fox business network debate when they said there should be more welders than philosophers. a lot of students now are getting degrees just to get done. [inaudible] >> is skyrocketed among welders. neil: you know what i think is weird? obviously it's a ticking time bomb in the people my age and older are not paying it off and on the sudden having social security checks garnished, what have you. but there is a rescue here. i don't know what it is -- >> i call it a game of balance and it really is for you have

this vicious cycle of the government is subsidizing student loans. colleges have no incentives to cut costs and then you have this massive lobby in washington d.c. the work for the higher education cartel that are lobbying for more research grants, lower student loans. who is being punished? >> if you don't pay back that debt, are you surprised they can come back this way? >> absolutely not. you echoed that point before. neil: leave it to the lawyer to find a way to make a buck off it. no offense. >> this may not sound like the smartest solution. but it is the most practical. it does fall and good parenting and high school where they have to guide students to the appropriate college or future that meets their financial needs. we have to start really early on. >> there's more that has to be done. we have to limit the funding so

that we do make the colleges cut their tuition cost to make it affordable. >> that is something trumped it or pose. the endowments are multibillion dollars that they could use for financial assistance. harvard $40 billion announced that raising their tuition. it's tax-free. absolutely ridiculous. >> when we look at student loans if you want to help the students we need to lower interest rates. >> 3.8% in the last congress. low interest rates because of the latest congress you haven't refinanced with the latest build. interest rates have had a negative effect. i didn't go to college and i found a way to rally in this crazy economy. low interest rates had more go to college than incentivizes college to raise tuition. neil: every time we keep getting more generous with the loans, the colleges get my generous.

>> why should every student have the same interest rate? it'll armor money in 30 years. >> it should be pay for play. seriously, you better get good grades, better do this. otherwise it's not a given. >> i agree completely. i want to get young people's lives. we are told this perspective not seen it quite yet today, young people are still in luck and to participate. maybe her parents expands, very little young participation. what do you make of that? >> i don't know. young kids oftentimes don't think about it at this stage. they read you get from young people as they think it is a rigged system. wall street guys are too cute for words and we're not going to reward them. >> i would have to say that's probably the issue. the mac when i was in high

school we barely talked about the market. it seems like it was something very abstract. in reality we should teach young people how companies are rewarded for selling products, making money and understanding we the people are check and balance on this companies by buying socks, selling stocks. neil: maybe this market is a reflection. a lot of this has surged since the election of donald trump and he will galvanize a better economy, better market. young and old can dive in the pool. >> i mean, i think our money is going to her student loans. neil: very little disposable income. neil: that is a big part of it. what would change that? >> a booming economy raising wages, but also a president that doesn't demonize wall street for the capitalist system. this is a good thing to invest. who does that?

absolutely. overwhelmingly, they have the most negative view of capitalist and success we are told that a new generation prior. >> this is a small sampling of millennial spirit did you think you are right. the bernie sanders votes dislike rich folks when they should be looking at them in emulating their example. >> or do you worry when you talk to other young people who have the same cynical point of view, vilified up more. it depends where you come from. now just the opposite. he's got a cabinet populated with luminaries and successful people. >> i love it. successful people in government is something we need more of. it goes down to a fundamental flaw. just because someone got rich been summoned up poor and that is wrong.

if someone got rich, someone equally treated value for -- steve jobs made a lot of money. i wonder if richard because we got better products. xyz person is rich therefore somebody must've got poorer. we must break that down fundamentally because then someone makes money they must have created value. >> don't you think you're a rich and poor? you know what i mean? >> despite income levels -- >> exactly. not just because you have money or a bad person. neil: okay. guys, how the merry christmas. always good seeing you guys. good luck with the social security check. you needn't worry about it. neil: good. neither am i at this rate. but that's about 2020 k. watch in effect. a fancy new graphic, music to tell you about. here is the problem.

it is not happening. i am going to run it anyway. after this.

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you know what i haven't said about this. if it happens during my show and not stuart varney. but it would be delightful. how we got to where we were. it's not petty at all. i am filling in for liz claman this week and i'm hoping that we would've already hit the 20,000 mark. how does it reflect on me. >> she keeps reminding me of that. it does give us the opportunity to talk about the where we been and where we been going component of all this. they have talked about this.

but going all the way back to the market at the lowest. it has added 200 percent. 13,000. those in the tech related. they have really been on fire. does it mean that we will do that. since the ninth of november. the financial 30 plus gain is there. they have already done well. 1:00 p.m. on whatever day of

the week it is here. we have to get to the tao 20,000. i'm out of here. a lot of this is excitement over the trump presidency. it will rise along with that. as an election. they are saying i would have done better in the election if the winner was based on the popular vote but it would've campaigned very differently. whether you are a fan of this vote or not it's one way of campaigning for that. so on the right in the left much of a brouhaha over that.

will they ever accept a donald trump win. >> this isn't about the past it's about the future. and it is the fact that we have a broken system right now with a person who receives the most votes doesn't win and that's pretty hard to explain. it's hard to defend. you know those are the roles rules and going and it's not how many votes you rack up it's the final score. this is about the future. so a popular vote issue even though we don't campaign on the popular vote the fact that we have the electoral vote winner and that he won in those the states hillary clinton would haven't taken none of this is on her. none of this is on a failure to appreciate the fact that we elect presidents on electoral votes.

>> this is a things that he loved understand. we played under these rules for decades. it's one of the real geniuses of the founders. i think one of the shames that we don't teach and so people have to understand where this came from. it came when madison and hamilton realize we're to bring the small states in. we need to get them compromised. you also had to remember that they wore wigs. here's the thing that they wanted to make sure. if we were to change i understand. if we want to go towards the popular vote which may happen down the road will be hard to get that past. as well as congress at two thirds margin.

then it is a whole different strategy. how would it change. it would be an enormous left to try to change the constitution. speemac it would become a tyranny of the majority. candidates would go to big cities and big population centers and they would try to jack up their margins in those places and they would ignore voters and less popular areas. our founders understood that. democracy can also result in tierney. this is a weird kind of a court. if we have a popular vote only strategy this is something i want to pick up with you. it was the democratic of west virginia. they have to just get over this and understand the loss.

>> what you make of those efforts? >> let's get on with governing this country. making us the world leader in keeping in maintaining the super star status. we all had to get behind our president whether he president whether we voted for them or not. it is time for the 12 step program. >> this is really not about the 2016 election is about the 2020 election. it's about the future. 40% of elections have been awarded to the person who did not win the most votes. that is a real problem for the republic. you're going back into the 1800s now as well. 40% in the century.

we had had five presidential elections in this century. >> neil, here's the deal. the process by which of this is in a change is a long the border. as i can happen anytime soon. but going back to what hadley said they soundly rejected care democracy. and they rejected the idea that a candidate with a strong regional base should be able to win national elections. if you remove california and new york it's an overwhelming popular vote. would you had been of that opinion in 2004 when george bush was winning the popular vote but have he lost ohio by another 35 or 40,000 votes he would have lost.

>> these are the rules by which we had played. it's the rules of the game. if you don't like the rules change it but it's good to be a long process. the people at best best position to pass a constitutional amendment are republicans and i don't see them wanting to do this. >> the focus should be on the future of this country coming together as americans and addressing issues like healthcare, the economy focus on those things instead of talking about changing the constitution that's can be an enormous left. >> people can learn more at the majority rules.org. there is a process that would accomplish this objective without a constitutional amendment. the future of our democracy the constitution says they can align their electors however they choose which is exactly what the national popular vote would accomplish.

>> it would still have to go back to be approved by congress. and second happen in the short term. all i'm saying is disingenuous to say that the popular vote winner wins every time because of a very different race if you are going we can change the rules after the fact. thank you all very much. donald trump looks to undo a lot of barack obama's legacy. the obama administration just be in a lot of drilling. the canadians are looking to do the same thing if this has a more permanent feel to it what you think.

>> i think this could have dramatic long-term negative consequences. from a job creation standpoint. we are confident president trump will be able to step in and reverse this rather quickly with his own executive memorandum. the kicker that you undo executive orders they don't like with executive orders of your own and i wonder if we would just keep playing football with this and whether that is the answer especially when it comes to something as big as this. when you look at his contract he makes lifting of the the restrictions on u.s. oil and natural gas a priority. we are we're hoping when he gets in the he will be playing political football. when you look at alaska it's a very important region from a national security standpoint. in their words if you exclude

the arctic than it singles retreat. what i don't understand about this type of action is a clever legal strategy because it would likely get tied up in court. another president could not undo it. instead it would be battled out to the court for years which is kind of what environmentalists want. >> this falls under. president bush in 2008 did exactly that. it allows the areas to be then developed. with this administration we have seen this kind of development. this decision actually takes us from 87 percent of our offshore areas to 94%.

no other country in the world eliminates that. with our construction workers. this is very detrimental to the american worker. the fact that the canadians are working alongside this they did the same in his side of the border to the things it owns. that complicates things. what is interesting about what the canadian prime minister did prime minister did he put a time limit on it. our president made it indefinite. the canadians are developing their resources in the atlantic not far from the u.s. border. major oil and natural gas fields and these are in arctic conditions. we are observers now. we need to act like it. will watch what happens.

>> for the guy behind the berlin attack. scott walker has may be an answer. generosity is its own form of power.

you can handle being a mom for half an hour. i'm in all the way. is that understood? i don't know what she's up to, but it's not good. can't the world be my noodles and butter? get your mind out of the gutter. mornings are for coffee and contemplation. that was a really profound observation. you got a mean case of the detox blues. don't start a war you know you're going to lose. finally you can now find all of netflix in the same place as all your other entertainment. on xfinity x1.

alright hard as it is to believe they can't find the sky. he was the one driving the truck the other night. they killed 12 people. they are releasing photos until the 24 euro. someone that was trying to seek refugee status. and was never granted. hundred thousand dollars reward offering anything that would lead to the arrest. a very big concern with europe. he has an idea.

particularly if the refugees coming from syria. we want to know the people that have been properly vetted. don't force this down state. let them decide who to take in. with anybody into the former navy seal. morgan, what do you make of what the government is same. i think it's a very common sense approach. they can look at what that u.s. will do with refugees. and needs to be a conference approach in which we also work with our allies. the responsibility in the region is of the gulf states to take in these refugees.

we are very rich gulf states. and the states haven't taken any refugees in yet. let's get the government powers. whether that is creating more safe stones or is having the states actually take more people and that should be the first and primary responsibility instead of always pointing the finger to america or europe. carl i've seen to remember a time when bill clinton of arkansas was angry at jimmy carter for getting that on his state. he argued at the time it was killing us. well have the wherewithal to understand who is coming here.

and how long they will be here and who is paying for them here. there is precedent of democrats not liking it either. >> i am from connecticut. has jammed a bunch of refugees i'm not particularly fond of it. until we can decide where they are coming from and why they are coming here and are they properly vetted. the shooter you just head in turkey he passed a betting where they fired 20,000 other police officers. why should we be taking him here. set up the safe zones over there. with the sunni arab countries. they should be embracing some sort of safe sum. >> it doesn't does make you wonder when you look in the case of this in the shooter who was part of the turkish security team in fact and try to participate in the coup. yet he was reinstated regardless of that shows up

the day of this art event in which the ambassador investor would be speaking. would not go through a metal detector test and they let him in. that was an authority figure. >> that's a great point. i think the case in turkey and germany our two very different cases. in germany you have a very classic terrorist attack this is the kind of stuff you've seen online. turkey is a big difference. the sky wasn't away from aleppo. i do think there is a difference there. i think the thing going back to the refugee situation in general the thing that burns at me and other republicans is if you really care about the refugees and the people of syria five years ago many of us were arguing that this was can happen we were warning the europeans in the middle east middle east that this was can result in civil war eight years ago whenever the president lifted forces this

is only going to lead to the rise of extremist groups like al qaeda if you really care about the refugees then you should've done something over the past five to eight years as he saw two countries go into chaos. >> night and day the markets are nonplussed. it's over there. it's in turkey. it's in brussels before. not here. they are almost cocky in that. what do you make in that. it was here. people believed it after a year or two they can forgot about it and then they started going against the war effort and said set were pouring too many resources there. if we don't participate we are the world power. they're to do with trucks into markets.

they won't do it with an uniform army marching on our soil. great job. >> let's take a peek at the tao. what's going on. the volume is very light. in holiday weeks you can also had sharp swings as possible in a lighting -- later trading environment. when very few people are participating they can make some mischief. ♪ ♪ ♪ how else do you think he gets around so fast? take the reins this holiday and get the mercedes-benz you've always wanted during the winter event. now lease the 2017 gla250 for $329 a month

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>> you never know how these things plan out. it has been that kind of campaign year. why would it not be the kind of a presidential inauguration. they are expecting to get a great deal of coverage even though the media has a split

view on how it covers rallies in protest. the tea party comes to mind. >> many in the established media they have done that. definitely a patriot. i just love my country but i think they're going the wrong way. we need to pay for what we can buy. >> two things on that. in 2009 could you find a more unflattering interview. to submit -- of me. here's the thing about the rallies. i remember these people who

were portrayed as right wing kooks to do what they wanted they were really mad with their own party to say nothing of the new president barack obama were mad about spending going on there. so they were collectively furious all of them in washington was out of control yet they were deemed the knots and now some of the other protest burning flags. they are the problem. he lived through. and as -- and has the scars to prove it. i go back in time remember that. the media characterization of those two. -- tea partiers versus the phony per trail could not be more different. no question about it. and of course remember when it was predicted that hillary clinton was going to win this election the conventional wisdom and conventional

thought was how crazy ice tea partiers and angry trumpet tears if you will would be protesting the election of hillary clinton and how we needed to be good sports and not spoil losers. and somehow that never came for our side is there is a deafening silence as it these protesters are protesting a man who hasn't even taken office yet. as these protesters are protesting a man who hasn't even taken office yet. the one thing that grates on me here. the popular vote and the president that's in the lose. having said that we don't campaign for the popular vote. it's nice that it goes your way. and 40 other presidents it has gone away. but that is the system and that is the way that it is. he came very close to that happening in reverse to john kerry in ohio he would've lost

the popular vote. we lose sight of that. >> that was in 2004 when bush carried the popular vote largely over john kerry. donald trump would've have a completely different type of campaign if this was a sheer popular vote campaign. it would've been a quite different kind of thing. how would that be handled. you will find a way to vilify him. how would have been different. i think donald trump would've campaigned in places like california. her places like new york to reduce the gap if you well. that's exactly right. but these protests are going to be big. i don't know where they're going to go.

it can get out of hand. ronald reagan comes to mind. but they usually shouted down by the vast majority there to welcome a new president. how do you think it will go on january 20. >> who knows. i look to cleveland into the degree to which the trump team worked hand in glove with ohio law enforcement that came in from all across the country and have a pretty tame convention in terms of the protest. they were kept under lock and key control and i suspect that will be the case in washington. i will let you know from the scene i plan to be there. always a pleasure. we hope you have a merry christmas.

he has been in on a lot of battles. also it was mild sprue. in the end it is a matter how heated you are on. come down. don't get mad over silly pieces of video that pop up. the pop up. and embarrass you and make you look horrible and make you think you should try a salad. just move on. after this.

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neil: this is interesting in this day and age. we talked to a lawyer who wants

to go after the legs of facebook, google for making it easier for terrorists to terrorize. facebook releasing its government request for the first half of 2016 and in addition as the government request for account data increased by 27% and not first half versus the last half of 2015. facebook says we expanded our emergency request to include countries outside the united states. it is to be part of a broader effort on the part of government everywhere. to be aware of what is happening in trading down nominally bankers versus all those supply-siders versus the renegade. where and how will this end up to trump economic advisers there

seems to be a difference between guys like you who are in the layer combo potential of council of economic advisers chairman fred like big tax cuts and the others, maybe some of these goldman sachs guys who seem to be hinting that the big bearded >> well, i think you overestimate a bit of the differences and are born the difference of opinion on how big the tax cut should be. we will see. i don't think we will have been a problem with stephen mnuchin. mnuchin was principally responsible for the tax cut on the table right now. neil: the tax cut for the wealthy will be revenue natural. that disappointed gasparino. >> limit argue with you guys. if i asked the question i

would've said the same thing. what we are doing here is basically saying we are going to lower your tax rate if you're a millionaire like you. you guys are going to pay a lower tax break. we are going to take away your deductions and loopholes and credits. that is exactly what ronald reagan did. neil: they paid much less. you know that. you're one of the smartest guys i know. >> i want rich people to pay my taxes. neil: i understand that. i love seat to death. it's one of the best minds they know. i think there is a grassroots year and i am not sure each side is talking to the other. >> listen, i agree with you. i love steve, too. >> we all love each other. i think steve mnuchin is a

decent choice. definitely a trade up from jack lew. >> tacklers never did movies. think about it this way. think about draining the swamp. these are all people who i personally like and think are really smart. let's just put it in context. you have the former number two of goldman sachs of goldman sachs who by the way is a progressive no doubt. we have steve mnuchin another hedge fund goldman sachs guy who i would say she is politically neutral in many ways. he's not a supply sider by any stretch of the imagination. a few other guys in an economic administration who are not supply-siders, did not create or help inspire the economic plan that donald trump is out. think about the guys that help inspire that sandwich with lower taxes, plugging loopholes and yes, less regulation. larry kudlow is still not in us

ahead of the the economic advisers and some question as to whether he will be put in. steve moore is still not in the administration and that's a big problem. where is arthur laffer and this whole thing? at the very least, where are the supply-siders? they are nowhere to be found. worth of goldman sachs guys all over the place anyone from. here it comes. >> what you think of that? >> look, this is why i have been so heavily pushing larry kudlow even making this point. donald trump needs their kudlow supply side. >> eyes like you are shut out. >> no, not shut out. >> you are shut out, dude.

>> here is the point. it would be very wise for donald trump because they think he and his voice at the table reason. neil: dealer showed clinton when the? >> not at all. you guys are backing me in the corner. if you look at this cabinet, if you look at the people at the department of transportation and the people, andy pazner, gray free-market conservatives. down the line to epa and regulatory agency a very free-market supply-side. neil: manyfold thinkers. i understand that, but i also understand growing the economy can deal with that and get this thing going. let me tell you something. this is the most disheartening thing about donald trump.

he put in an avowed progressive as head of the national economic council. gary cohen supported president obama. he broke for president obama because goldman sachs got screwed by dodd-frank. neil: the speech in there, maybe things will change. >> i am not leaving fox. got dental. neil: this worries me. i'm worried about america. thank you. merry, merry christmas. you'll probably be the last one to have a chance at all here. charles payne on a number of developments including kids still living with their parents as they collect social security. not the parents, the kids. after this.

>> it is time for your fox business brief. i am connell mcshane on the floor of the new york stock exchange. the dow jones industrial average close to the number 20,000 down almost 18 points. earlier it was at 19,986. within 14 points before pulling back a little bit. the individual stocks that have been driving this rally since the election. it's amazing that is true, goldman died worth more than 400 dow points since the election of donald trump. they have been worth more than 100 points apiece on the dow.

flip it over and it over and look how the stocks are trading today. three out of four the biggest in the bunch down 1%. it doesn't look like we will get there today, but back in a moment with more "cavuto: coast-to-coast."

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neil: apparently four out of 10 young people are living at home with their parents. it has never been that high since before the war, world war ii, in 1840. and then you might argue there is the reason we are coming out of the depression. what's going on now? charles payne, what he think? >> it's a combination of different things. i dismissed the idea that they are high college student loans. in fact, you're more likely to be home with your parents if he didn't go to college than if you did out of college. it is economic msn.the economy has been down. hard to get a good paying job out the gate, but there's also something societal to this as well. think back to the 1960s and when you think about it ... free will and and whatever professor leary says everyone dropping lsd. 62% of eight team to

34-year-olds are married or at least cohabitating with someone. that number has been sliced in half. and if the men more than the women. it is the men living at home more than women. it's amazing. i don't know about you, when i was growing up my dad made it pretty clear. you've got to leave the house at 17. i don't know where you've got to go. neil: you sound like a tough guy about this. a lot of italian households, generations live. >> of its cultural there's nothing wrong with that, but i do believe people have to get out there. >> out what age? >> you were in the military, right? >> it was delayed so i had a five-month delay, but i worked. i went and got a job and worked until the day before i went to the air force.

i had to stay busy. i lived in a neighborhood or if you are idle, if you were lucky enough, when i went for the job, 300 people showed up for three jobs. the interview process was five hours long and went five hours on end with five hours on end with three series and they whittled it down. after the first series the manager pulled me over and said you've got away. go over to the corner. i don't know what i said to the guys but i did get the job. neil: were you dressed like this? would he think it is that kids? we sound like two old guys here. >> the same, with top around privilege a lot when we talk about the lendale's. unrealistic expectations, a lot of these kids -- i've hired young people and a lot of them think this was to give them the first day of work, not the last. ursa major just cannot there be an adult is supposed to be.

it happens along the way of our society, unrealistic things on tv and in school. not just college becoming a bank spirit the old-school notion of hard knocks, you know, maybe graduated college and not getting your ideal dog. neil: how do you instill that in your kids? >> you've got to start young like my dad would did with me. you've got to say i will let you know right now as you're changing the diaper, at 17 year out of here. you do need to prepare them more. think about the best part of obamacare that even donald trump can't get rid of. kids stay in on their parents until they are 26, 27 years old. neil: we might not be a better generation. a lot of us are getting social security garnished because they have it pay back student loans. >> you're right. you're absolutely right. it's amazing who still owes a lot of money. no doubt about it. some of that comes to enforce

his people, but i find it interesting that men are driving this phenomenon and i'm concerned if you look at japan where they have the grass eaters, a phenomenon about 10, 12 years ago. has gotten worse. they don't even want have like these guys. 22 years old they'd rather be in the basement and play videogames with their friends all night and sleep all day. their population will grow from 120 million to 80 million people. neil: if they are playing video games and not going having sex, they could go to congress. plus an electron telling reporters attack in berlin is an attack on humanity. we have more coming up.

>> my suggestion to the president he lacked is going through the legislative process is always better in part because it is harder to undo. >> takes his time. anyway, is it fair for president obama to give donald trump advice on executive actions, "washtington examiner" sees in here. what he is saying essentially is just that i wouldn't be doing that, yet he did it a lot. >> ray. what can be done with the pen is now going to be undone with a pen. of course, the president wishes he had accomplished it in a way that can't be reversed. a lot of what he has done through executive action looks like it can be undone and i think that is what we are going

to see the president elect do once he takes office. i don't think there's any question that these executive actions will quickly be undone. neil: is it that simple you can just undo the executive order because all i know is barack obama has had 269 a bad. george bush's predecessor, bill clinton 264. it is sweeping it is. it seems like it's out of control. >> going forward, the question will be what trump does to executive action, not that he tries to undo. one of the six main platforms of the republican agenda in the house is to curb executive

authority, to re-establish and enforce limits on each branch so that congress can have the authority to have been taken away over the years. -- that he is going to do that. i get the impression he's going to work with republicans in congress. president obama's problem is he didn't have the interest or the skills that not even within his own party. this isn't working out so i'm just going to do at my own way. he didn't have a lot of things forward that way. congress wants to put an end to that in both parties have an interest there. the question is which of these executive actions that president obama has put in place will trump decide to take on. for example, the dreamers was done through executive action. people came your children legalizing presidents in the

united states. there is some of the threat that may be of the thought that maybe one up up at a stop to that. lindsey graham, republican. >> suzanne, merry christmas. thank you very much. we will have more than have more in that elusive quest for the 20,000 hour.

neil: barney couldn't do it, i couldn't do it. baby trish regan can do it. >> stay with me. it may have been. we are watching yet again this market flirting with out 20,000. that's probably the perfect bird because it gets us really close. it could happen this hour. we may make history. let's watch together. meanwhile, a manhunt under way right now. german police desperately search for the suspect be behind monday's attack that left 12 people dead and 40 people injured. he is believed to be armed and dangerous. i am trish regan. welcome to "the intelligen