kim, jack, thank you. it's a big breaking news day. markets do appear to be closing off session lows, but boy is it a read start to kick off the shortened thanksgiving week. looks like the dow is closing at 399 points to the down side. up off the lows where we were down 512. will it be a bear market for apple? i'm going to leave that to after the bell. that stock still settling. >> if we hit that magic number or lack thereof. sell off no doubt on wall street. stocks kicking off this week in the red. u.s. china trade concerns and the weakening iphone demand from apple. so we're down 395 points on the dow. been down 500 plus earlier. so take that as good news if you want. the s&p 500 and the nasdaq also ending certainly in the negative today. the nasdaq down more than 3%. i'm connell mcshane >> i'm melissa francis. this is after the bell. we have you covered from washington to wall street. but first to ashley webster live on the floor of the new york

stock exchange. >> so much for a quiet holiday shortened week, guys. it could have been worse. we're looking at a 500 point drop at one point on the dow. you could say we came back down 395. but i think today's story is a at about big tech. as connell just said, we talked about trade worries with china. that's always been hanging out there, but i think the sell off in big tech has been the big story. where does that money go? it was big tech that led the markets for so long. now we're seeing that money go into the safety of consumer staples, utilities, even the ten-year treasury bond. i want to get to apple, if we can. 185.65 has been the key. okay, we just finished above 185.65. if we'd hit that or below, then apple would officially be in bear territory, down 20% from its recent high in early october. apple hanging on, but don't be fooled. this hasn't been a great day for apple or any of the tech sector. worries about iphone demand and the production being reported --

production numbers are being cut for the iphone xs, xs mechanics, and the xr, the latest -- xs max and the xr, the latest models revealed in september. let's talk about the trade sensitive talk, in particular boeing, another rough day for boeing. as we talk about china trade, down another 4 1/2% today, down 15 bucks at 320.94. caterpillar also having a rough day today, another trade sensitive stock. let's finish with the homebuilders. we got the latest reading on homebuilder confidence at 10:00 a.m. this morning. that just added to the malaise and pessimism. what's interesting is the home building stocks after being down came back a little bit today, but don't be fooled by these numbers. all of these stocks are down 20, 30, 40 percent year to date. concerns about demand and costs in housing sector has certainly hurt this sector overall. but coming back just a little bit. back to you. >> ashley thank you for that. let's bring in today's market

panel, foxnews.com columnist from a hedge fund, both fox news contributors. jonathan, do you think that this problem with apple, is that more reflective of the larger economy, or is apple just didn't create exciting phones or enough of an upgrade to inspire people to go out and buy? >> well, melissa, apple really is the economy. you can't underestimate how big, how important this company is to the stock market certainly, but just the economy at large. it is 5% of the entire dow jones industrial. it's 12% of the nasdaq 100. this was the first trillion dollars company. we cover that. now it is about 800 billion. to put it simply, unbelievably weak. these are the stocks that led the market up. they are leading the market down and at this point i still think they are falling knives to be avoided. >> wow, that is a pretty strong indictment. also, the specific thing that suppliers were upset about was

this idea that they feel apple's really bad at forecasting what demand is going to be for their products. what do you think of that criticism? >> well, i think -- back to your first question which is is this indicative of something happening in the economy overall? i would say no. i think this is a particular problem to apple. they have all these product introduction cycles and everyone is constantly trying to figure out whether sales are meeting expectations or not. i understand many months ago that their inventory began to build up pretty perilously and didn't move very quickly to fix it. a year ago we had a very similar story that sales were going to be terrible, and then the holiday season came along, and it was gangbusters sales report for apple. >> a good point. >> i think this is maybe an inventory adjustment. the big red flag to me was this issue they are not going to report unit sales anymore, and they are only going to be talking about revenues. well, i think when a company gets to the point where they're really relying on hiking prices,

not relating necessarily to quality improvements, rather than selling more goods, i think -- >> also making it tough on the suppliers. with apple, tim cook, the ceo gave this interview over the weekend to axios where he talked and actually said the free market may not be working and tech regulation, regulation could be part of the mix. -- could be part of the fix. here he is. >> i'm not a big fan of regulation. i'm a big believer in the free market, but we have to admit when the free market is not working. it hasn't worked here. i think it is inevitable that there will be some level of regulation. >> all right. we'll get jonathan's take in a moment. liz, you first on this. >> i think it is very comfortable for tim cook to talk about this because really what are we talking about? we're talking about regulation of companies like alphabet and facebook which have sort of mere monopoly positions in their particularly respective fields. apple if you talk about it in terms of antitrust or whatever,

they have competitors. this is not a company that really is fearful of that. so i think the regulatory push is more about data sharing, data privacy -- >> it's a negative -- >> but i don't think it really impacts apple so much as it does these other companies which is why tim cook is okay to talk about it >> what did you say, jonathan? >> i think it impacts the entire sector. it is one of the reasons i think you have seen facebook at a new 52 week low. google is what they call below the death cross. that stock is in a bear market. >> liz's point is right isn't it? data collection is much more of an issue for facebook and google. almost easy for tim cook to say this because it doesn't affect his company as much as the others. >> i think it affects his company. it is a little bit of then they came for me when it comes to regulation. you start with data, they will come for apple eventually. a major negative for the entire sector which is relatively

lightly regulated up to this point. >> no end in sight, trade tensions between the u.s. and china rattling the markets today. investors are closely watching for the up coming meeting between president trump and the chinese president at the end of this month. edward lawrence is live at the white house with the latest. edward? >> vice president mike pence gave an update today to the president saying that he kept that tough tone while he was at the asia pacific economic cooperation summit this past weekend. now, the vice president very tough on china, saying that the u.s. will not change course unless china changes its trade practices to make more free trade. the u.s. specifically would like to see lower trade barriers to protect intellectual property from u.s. companies, as well as opening the chinese markets to more u.s. goods. now, the chinese cancelled a trip here this week to meet with treasury officials, the vice premier was going to meet in order to lay the groundwork sort of do some background work before the bilateral meeting between president xi and president donald trump at the

g-20 summit next week. now, the white house advisors know that what that means is this meeting between the presidents is even more president, when it happens at the g-20. >> i think from the very beginning of his presidency, during the transition, president trump has tried to have a good working relationship with president xi. >> china also not backing down. they gave a forceful statement at the summit saying, quote, the minister, the foreign minister saying quote china took part in this meeting to see consensus and cooperation, not to get into a boxing ring or spat with anyone. we hope that the u.s. will work with china and other parties, respect the reality of diversity in asia pacific, advance cooperation, build big family for asia pacific countries. now the former head of the ftc under president reagan came out and said that the chinese don't need to underestimate president donald trump. >> trump is a very good negotiator.

he negotiated with the canadians. i think the chinese should take a look at how we negotiated with the canadians and get ready for more. >> now, the chinese will have that meeting between the vice minister and the treasury officials on december 1st, after the bilateral meeting, depending on how it goes. melissa? >> edward lawrence, thank you. >> liz and jonathan are still here. when you listen to the talk, jonathan, about trade, it is kind of interesting that last week we were thinking that maybe we should be optimistic because supposedly peter navarro at the white house was being side lined and now we're being led to believe that maybe we should be worried because nothing came out of apec and therefore nothing will come out of g 20. what is going on, do you think? >> anyone who does business, i mean, america survives and thrives on trade, including trade with china. and the president has talked about billions of dollars each month coming into the treasury from tariffs. so, you know, americans are having to deal with this. we know companies are having to deal with the tariffs.

williams so no ma announced that the tariffs were affecting their bottom line. when you look at alcoa, the tariffs were supposed to help it. its stock at 52 week low. we hope i think many in the business community it is just a matter of time before this policy is put aside >> we will see, because, liz, it could just as easily be the opposite where the president kind of doubles down on it and we're talking about the additional tariffs going into effect at the beginning of january. >> i think that's right. neither of these leaders, xi or trump want to back down. the apec meeting was a disaster for the chinese because what happened which i think is extremely important is that we partnered with japan and australia to push back against china and particularly against their project, and the big investments they are making all over the world. i thought it was a very forceful sort of resistance movement, if you will, to the chinese, and i think it sets up this next encounter very well. by the way, i think the markets

are sort of becoming pavlonian about this. i think a lot of this is posturing and we will see what happens this week. >> yes, we will, famous saying of the president, we will see what happens. thank you very much. maxine waters, democratic congresswoman and vocal critic of president trump is trying to shake up the house financial services committee. how this move could impact banks around the globe. plus adopting new management style, why facebook's mark zuckerberg could be driving his top executives away. that social media company's attempt to tackle a growing list of problems. desperately waiting for answers, the cia is releasing a full report on the murder of saudi columnist jamal khashoggi, what we will find out and what action should the united states be taking. [ phone rings ] what?!

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melissa: the new congress versus wall street. democratic congresswoman maxine waters is preparing to take control of the house financial services committee, and she's putting big banks on notice. here now is republican congressman who currently sits on that committee and plans to stay on next year. sir, thank you for joining us. >> thanks, melissa. melissa: a lot of people laughed and didn't take her seriously when she made that very famous comment in the run-up to the election, where she said what am i going to do if i'm the head of the house financial services committee? i'm going to do what you did to us and it is going to be really painful. well, now, it looks like based on the things she's outlined already, she wasn't kidding. one of her biggest targets she has said is deutsche bank. >> yes, maxine waters has had a long-standing dislike of this president. she's wanted his tax returns. she wants to investigate all his

business practices before he was president. so i have no doubt that she'll go down that trail, but she has to be aware is that she needs a factual basis for the work she does in order to have the support of her own members on that committee. so i would hope she would temper her tone as she comes into the chair position in january. melissa: well, i mean, you're talking about her using the committee in order to get back at the president. but i think she hates wall street. i mean, if you look between the lines, one of the changes that she's proposed is she wants to lump in the international financial institutions oversight of that group, which in my mind could mean anything -- all four banks, the world bank, it could be all kinds of things she wants to lump it in with oversight of terrorism and the illicit finance subcommittee and scrap monetary policy and trade subcommittee. that means that she thinks you know like the world bank and foreign banks are basically international money launderers? what does that change mean to

you? >> well, i serve on both the monetary policy and trade committee and the illicit finance and terrorism committee. i think she is mixing metaphors there. i'm sorry we won't have a subcommittee that oversees the fed and provides a constant review of our monetary policy and trade certainly a critically important issue in this particular administration. we already do an excellent job in overseeing illicit finance and terrorism issues, and we must get an aml bsa regulatory bill through the congress next session. that should be the major work of that terror committee is the money laundering and bank secrecy acts improvements we need to make. melissa: she did an interview with axios and she hit home that she wasn't kidding and she's going to come after all of these institutions. basically i would ask you how big of a threat do you think that is? does she have a lot of support on the committee to do the things she wants to do or no? you are there. >> well, i think she needs of a

factual case on why she wants to have a hearing related to deutsche bank and deutsche bank's financing with the trump organization prior to the -- mr. trump becoming president or what she wants to pursue with wells fargo, for example. she needs to make that case to her staff and to the democrats on the committee, and then if there's a substantial reason for doing it, then she probably has certainly the right as chair to hold those hearings. and we will have to see how that goes from the point of view of what our response is on the republican side. but i think -- she has an issue with her own committee in regard to what she's proposing. she's got of them on board with the approach that she takes to these large global financial institutions. melissa: we will be watching close by because there's a long distance between having hearings and the banks. the banks that make all this commerce possible. congressman hill, i hope you will come back and give us an update when you can.

>> you bet. thanks for having me. connell: let's get to the turmoil on facebook for a moment. melissa: i mean wow. connell: putting it mildly turmoil at facebook. are zuckerberg's new tactics driving others away the new york city mayor de blasio says wal-mart doesn't belong in his city. but amazon's just fine. dan henninger from the "wall street journal" responding to all of that, next. so lionel, what does being able to trade 24/5 mean to you? well, it means i can trade after the market closes. it's true. so all... evening long. ooh, so close. yes, but also all... night through its entirety. come on, all... the time from sunset to sunrise. right. but you can trade... from, from... from darkness to light. ♪ you're not gonna say it are you?

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their story on facebook. that was a long one. it was interesting to read the "wall street journal" reporting as well on the back and forth between sandberg and zuckerberg. what's going on here? >> a little bit of internal dissension. zuckerberg seemgs to be the guy under fire especially from the new york times. connell: oh, yeah. >> it's like they put him in the same category as donald trump. virtually an enemy of the people, he cannot win. what we are seeing here i think are the strains of a very very large company. the thing about facebook and i would say put google in the same category, these two companies capturing the internet of virtually -- it is as though they have captured the ocean. they are trying to put their arms on the ways, the tides, and they are -- the waves and the tides and expected to manage all that, all the fish in sea. they are so huge. i think what we're seeing is the difficulty of successfully managing a company on this scale, and zuckerberg i think, he founded the company, but there's no reason to believe

that an individual like that should have the management skills to run an operation that is that large. connell: so much power. i don't necessarily think it is about his age. everybody keeps bringing up he's 34 years old and all that, but he's been there for a long time now considering how the company from its birth and all that that's fine, but he is managing a large operation and has so much control of it. >> yeah. connell: so many of the shares are his, he's the chairman and ceo. i know sandberg is the coo. you wonder what the future holds for this company, whether a chairman is brought in, eric schmidt, a google style. >> something like that or making it smaller. it is telling that the cofounders of instagram and what's app both left. they probably came in there expecting they would be able to run their division, their piece of the action, but it's obviously being pulled into the central office, and they just decided to walk away from it. i think mark zuckerberg has to decide whether it's possible to run a big company like that from a central authority the way he seems to be doing.

and at the moment, it's not working so well. connell: it is not. >> look at the opposition research piece the new york times did. he said he didn't know they had hired that company. cheryl sandberg says she didn't know as well. i mean, wait a minute, if you don't know that sort of thing is going on, your company has gotten too big. connell: yep, you either knew or should have known, the old saying. i want to talk to you about the amazon story as well. defending amazon but taking shots at wal-mart. bill de blasio offering up an interesting reason for supporting one company over another. listen. >> -- the effort to keep wal-mart out of new york city. wal-mart is an entirely universe in terms of the systematic efforts that they have undertaken to not only undermine labor, small business, the environment, american workers, and obviously the politics of the walton family. wal-mart does not belong in new york city. connell: maybe the obvious part is the politics of the walton family, just kind of threw that

one in there. but loves amazon but not so much wal-mart, this bill de blasio. >> i think this is such a telling example of this amazon versus wal-mart thing. and governor cuomo and bill de blasio. i mean, amazon is going to bring in all of these sort of really upper middle class employees, right? wal-mart is the sort of company that employs extremely middle class people in areas like queens. but de blasio -- connell: people de blasio are supposed to be fighting. >> you would think so. but de blasio and cuomo are turning out to be the poster boys for corporate welfare. it is so fascinating to see them get attacked from the left for doing these handouts for amazon. connell: you should be a neither or both; right? i mean if you look at the way these companies -- you could be for both. you could be for having as many new businesses come in, whether they be small or large. they are going to employ new yorkers. you could make that argument or you could say neither. we're not going to give tax breaks to companies. >> it was so interesting, cuomo in the op-ed he did on this

cited repeatedly the amount of revenue they are going to get from amazon's workers. well, obviously more revenue than you would get from wal-mart's workers, leading you to believe that what bill de blasio and andrew cuomo really want are the high income people coming into new york who are going to pay the 10% combined city and state tax, property taxes in new york, that fill their coffers, in a way that wal-mart workers won't. i think blue-collar progressives really should be wondering what is happening to their party. are they representing average people, who work at wal-mart or has it become a party of silicon valley types? connell: it is interesting you talk about the changes in the republican party as well. but this is a change in the democratic party. >> real tension inside the party now. connell: good to see you. melissa: the holiday shopping season is upon us. a new study by jll retail is revealing men will be the big spenders this year, more than 30% of men will spend over $750.

only 26% of women will do the same. the top five retailers americans plan to shop at are amazon, wal-mart, target, macy's, and best buy. connell: really? melissa: connell, why are you spending so much money this year? connell: i saw part of that story. do you know a lot of it is because men are spending money on themselves? isn't that horrible? melissa: it takes a lot more sense that way. now i get it. connell: men are buying great presents for their wives this holiday. that's what i meant to say. talking about a party divided. coming up, how the democratic congresswoman alexandria ocasio cortez is putting her own party on notice. that's ahead. plus -- some breaking news out of the white house at this hour. the trump administration just outlining new rules for press conferences. the details on that, straight ahead.

melissa: the white house issuing new rules for press conferences going forward. let's go back to edward lawrence for the details. >> these rules apply to press conferences or news conferences with the president as well as press briefings. this park ee eed -- this sparke because of the cnn event that happened with jim acosta. new rules, three new rules, a

journalist called upon will ask one question, a single question, then yield the floor. at the president's discretion if they can ask a follow up question. yielding the floor indicates that they have to surrender the microphone if that's what this case calls for or sitting down in their chair. failure to abide by the rules could result in suspension or revocation of the pass, but again, it's not clear if this also applies to those areas outside the press room or where the briefing happens. there's a number of different areas like the area i'm standing in currently where there are questions asked and taken from various government officials, but again, this appears to apply to news briefings, as well as the press briefings from secretary sarah sanders. they went into effect today. melissa: you have to share the microphone edward. that's what the rule is. >> tough -- you have to pass it to the next person. edward lawrence, thank you.

connell: nissan's chairman carlos ghosn arrested by authorities in tokyo over alleged financial misconduct. we are on that story. we have the latest. >> this is being framed as the ultimate betrayal at some of the highest rankings levels of leadership in nissan. the ceo says he can't promise there will be zero impact on sales because of this scandal, and he also is not ruling out the possibility that they may sue the chairman on top of the legal trouble he's already facing to get some of the shareholder losses back. so the nissan board is set to meet thursday to finalize his removal. the chairman's arrest was a bombshell moment, part of what has been a long internal investigation at nissan. the investigation revealed that he frauded the company by using company assets for his personal use, also misused company investments, and on top of that, underreported his salary for several years by about 44 million in u.s. dollars.

in an emotional and raw press conference, they apologized for ghosn's action calling him a mastermind who had a long regime of power that enabled this conduct to go on. >> we need to really look back on what happened seriously and take immediate and fundamental countermeasures to solve this. these are the things that we have to do. i feel despair and indignation or resentment. >> saikawa had his own comic book made after him because of this but now it's looking like his actions are causing his reputation in the business community to perhaps sour or fade a little bit. connell? connell: yeah, hillary, thanks. underreporting your salary by 44

million dollars. in that neighborhood, yeah. melissa: a warning sign for the booming economy, confidence among u.s. builders taking a hit. so what impact could this have on other businesses? we're going to talk to a ceo next. (toni vo) 'twas the night before christmas, and all thro' the house. not a creature was stirring, but everywhere else... there are chefs, bakers and food order takers. doctors and surgeons and all the life savers. the world is alive as you can see,

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melissa: homebuilder confidence plummeting to its lowest level in more than two years. builders reporting that while they continue to see signs of consumer demand for new homes, customers are taking a pause due to rising interest rates and home prices. joining us now is bill darcy national kitchen and bath association ceo. bill, you know, i would say that we get a lot of these readings, seems like it is almost every week, but this is a pretty significant move, and it's one that is relatively forward looking, so it's gotten a bit of attention today. how serious do you think this is? you know, melissa, our members are still excited about what's happening in the market.

i mean homeowners are staying in their homes longer and investing those dollars and remodelling the kitchen and bath. you know, in a week here we have coming up, a big meal week, where people are going to spend a lot of time in the kitchen, those look forward and maybe want a better one than they are sitting in. melissa: you are saying that you feel like right given the rising interest rates and people in your association build new places, they rebuild old -- so it is not like you are necessarily talking one book or the other because they of course do all kinds of new construction, but you are saying the trend is now moving towards more remodelling rather than getting something new all together, a whole house? >> that's correct. you know, as you mentioned, our members are very diverse. they are dealing with new home construction as well as remodelling projects and services. however, in the remodelling space, you are seeing a lot of investment as people stay in their homes longer and are challenged whether they are trying to move and they need to invest in the kitchen and bath to sell their home or they want a better place to be because they are going to stay there.

melissa: yeah. do you think that -- do you hear that people are talking to buyers who are concerned about interest rates? >> yes, i think any time there's interest rate movement, people are concerned about those dollars. you know, you are concerned about things happening where people are going to spend money, and how are they going to access the dollars, but a big percentage of our remodelling research shows us that it is on cash. about 75% is on cash. i don't think you are going to really see the dramatic impact in the short-term. our members are still happy with the growth they have seen and they expect while it may slow a little bit, they expect continued growth. melissa: one of the things they mentioned in the survey was that part of the reason that people were not buying as much and were taking a pause, is they were watching home prices go up very rapidly even as interest rates were going up. the reason the homebuilders put that on was the idea that the supply prices are going up, which is something your members have been talking about for a while, that they saw a rise, you know, in commodity prices even before the tariffs went into

effect. there's also a labor problem when it comes to -- we saw a lot of new construction jobs last month. but talk to me a little bit about the labor situation that's all over your industry. >> yeah, as we talked about last time, i mean, it's definitely materials but the labor is the bigger issue. attracting young people to the industry is a big challenge. we really want to do all we can to help young people understand the lucrative careers that occur and happen in our industry. so -- but the labor is a problem. i mean it is slowing down jobs. they are costing a little bit more, delaying start times, that type of thing, so now is the time in the market to invest in your kitchen and your bath, you know, our members are really very pleased and excited about what the optimism shows in remodelling. but the labor is a big concern. it is the biggest concern in our market. melissa: yeah, all right, bill darcy, thank you very much. >> thanks. melissa: thanks for coming in on the fly. connell: politics in a moment. a message for the new blue house, incoming congresswoman alexandria ocasio cortez seems to be in the news a lot.

she's sending a warning to the democratic establishment and how her new campaign could push that party even further to the left. that's ahead. plus, backlash over brexit, the british prime minister feeling the heat from her own party. can she mend that divide? can she survive? all coming up next. welcome to the place where people go to learn about

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prospect of a positive agenda. european union ambassador to the u.s. is with us. good to see you, sir. why don't we start there, this idea that maybe we shouldn't be moving past the united states and europe when it comes to trade, is a deal really in jeopardy? >> i think the presidents met in the white house on the 25th of july and agreed on a very constructive agenda on how we could take forward our trade relations. we're working our way through that. and both sides agree that there would be no introduction of new additional tariffs while those talks are ongoing. so i think we're having good progress in those talks. i'm very confident that both sides will stick to their side of that bargain. connell: what if they don't? what if they are additional auto tariffs? >> it is very clear if that were to be the case, of course the negotiations would not be able to go forward. i want to emphasize we think those negotiations are going well. they had very constructive talks

last week on the regulatory dimension of that. we're talking about what we can do on l and g, about soybean exports. we feel the talks are going well. and therefore we're sure that both sides will stick to the commitment of no additional tariffs while these talks are proceeding. connell: so you're positive, i get that, but as you said at the beginning of your answer, if that were to happen, if there were additional auto tariffs the talks would not go forward. does that mean they would be cut off or europe would respond in kind? >> well, i don't really want to -- i mean, we have made it clear that if we are the subject of additional unfair tariffs, we of course will reserve our right as we have done with the steel and aluminium tariffs to impose rebalancing tariffs of an equivalent amount. but i want to emphasize that both sides have agreed not to do that while the talks are going forward, and we're very confident that these talks are making progress. indeed we hope that president trump and the president will see each other again in the g 20 meeting and give additional

information to what is already a positive process. connell: that's interesting because again we've been focused so much and maybe we shouldn't be, but we been focused so much on china, on the u.s. and china and the meeting between president xi and president trump in buenos aires, but you are telling us the president is meeting the president at the g 20 might be maybe not just as important but very important. what do you expect to come out of that? >> well, i think the two men will take stock of the progress which has been achieved, based on the agreement they reached at the end of july. we believe that that is a positive position. and i hope that they will give additional impetus for us to take those forward negotiations and achieve early deliverables which will help stabilize the trading relationship between us and grow that relationship in the best interest of the united states -- connell: what about wrapping up and kind of putting a bow on u.s. european negotiations so that the rest of the world can together focus on china? are we still not close to that point? how far away are we in your view

from being there? >> well, i think if you look at the agenda, which involves potentially a free trade agreement on industrial products, that takes a bit of time. the congress has been mote fied -- notified. there's a 90 day delay before we can go forward. certain aspects can go forward more quickly. there's been a huge increase in soybean imports from the united states into the european union. so it's a package of measures which will not all proceed at an equal pace. but that does not stop us in the meantime by the way from cooperating on our common concerns with china, which we share and where we are working together also to address some of those concerns. connell: okay, even if no deal -- a final deal is in place. i to be remiss if i didn't ask you at least one question about everything that's been happening in the u.k., what do you make of theresa may's situation and how is that complicating all your other trade discussions there with brexit seeming so uncertain? >> well, i think on the european

union side, we feel we have been able to arrive at a very balanced and sensible agreement on how the united kingdom have an orderly withdrawal from the european union at the end of march, as was wished for by the british people in their referendum. we think this is a very balanced deal, taking into account the constraints on the british side, the constraints on the european side. of course we understand that it's the subject of passionate political debate in the united kingdom. that process has to play itself out. but on the european side, we feel that this is a balanced and well crafted deal, which respects the constraints on both sides of the table. connell: ambassador, thank you, sir, we appreciate your time. >> thank you very much. connell: okay. melissa: the fight for the gavel is heating up, a growing number of democrats coming out against nancy pelosi as the next house speaker. what could this mean for the new congress and the future of the u.s. economy? that's next.

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>> one more decision 2018. democrats have to vote on help readership. president trump lending a helping hand. i would help nancy pelosi of sinead and all. i will perform a wonderful service for her. i like her. can you believe that? she's tough and she's smart, but she deserves to be speaker. >> brad blakeman from a farmers senior staffer. get some extra vote. do you think she's considering that offer? we think the motive could potentially be? >> if she wants to be speaker, the only way out if enough democrats don't support her, she'll major public investigated major public investigated the 218 she needs in order to become speaker again. if anything, this proves positive that politics does make strange bedfellows and the

president thinks it's better to deal with the devil you know the devil you know. let me move on to some other image. seriously, he obviously wants to elevate the enemy that he wants and he wants to have her out there as a democrat that he can sort of beat to death when their campaigning. today's motive also be if he thinks there's a dealer mary, maybe they get together on some of these deals. is there any way she would take that offer? >> she should hear it again, if that's your only pathway to be speaker, i believe that she will have a friend in donald trump. it will come at a price, of course that in order to get support comment and she's got to do something for him and for the republican agenda not only in the lame duck which he can be very helpful within being productive, but also the next congress. trade do we have learned so far

one of the things as he is loyal to a fault. he sticks by somebody has to deal with are sometimes too long. nancy pelosi's struggle is a sign of things to come. alexandria ocasio-cortez not officially a member of congress already vowing to back her more democratic colleagues. this is how she got in. she primaries somebody with these strong and tough and well-known democrat she wanted a surprise upset and she's trying to encourage other groups through this official group that goes and gets people to do that just as democrats. they are far left group supported her run from associate supporting them and say let's get out there and find people to primary these democrats. do you think it has an impact? >> you will definitely have an impact. it's an agent of chaos. a party is only as good as the team that plays well together. you have to come up with a platform.

you have to support each other. a new group of democrats, socialist democrats who don't even believe in the party. they are fluke. they could turn into something much more troublesome if they don't come in. they'll be very dangerous, sniping and harpy not them when they sit in their caucuses and also they vote against them on the floor. democrats are in for some big trouble in not only the next election cycle but down the road if they can't get a handle. >> ever makes a comparison between the tea party and this was part of the wing. they are really good at pulling together. nancy pelosi is one of the people that whips them altogether. i don't know what kind of what she has, but it's very effect is. is this a real breakdown or adidas -- democrats say the senators will get in there and overlaid it with the endorse now they have a little bit of leverage.

but a month from now, everything will be settled and it will be fine. >> if nancy pelosi comes back a speaker i think there's more of a chance of that happening. if you have somebody who is not as well known, not as well-respected within the democratic caucus. david: no one has even said there officially running against her. >> look, democrats when they sense blood in the water she doesn't get through the first or second round of voting, though, out of the woodwork. you know, we've seen that happen before where we thought a speaker was a sure thing in the more ballots that go by, the more emboldened people are to challenge them. she needs to lock up these notes and quite frankly would be in the president's best interest probably to vote or votes in order to get something done. >> brad blakeman time i know you'll be having a viewing party with cocktails and everything. >> and then there is this. do we not have time for the tree? christmas tree at the white

house. there we go. president and first lady. merry christmas everybody. it's not even thanksgiving. there you go. thank you for joining us. >> david asman coming up now. "bulls & bears." david: hi, everybody. thanks for watching. this is "bulls & bears." i am david asman. today we've got mike murphy, liz claman, and kristina. it just all led up at the nasdaq falling the most by over 3%. the report said apple is cutting production orders on two of its iphone models. apple.another 4% today narrowly avoiding bear market territory down just shy of 30%