[laughter] >> all right, thank you so much dean cain, always a pleasure to have you on the couch. >> thanks for having me here, a great time. >> merry christmas. >> merry christmas! >> have a great weekend everyone, back on tv monday at noon. saying a warning to the u.s. >> calling for an end of a long- standing military partnership. >> i anticipate that i will not be standing here tomorrow. >> we are waiting president obama final new's conference as the white house ramps up the rhetoric with russia and the media. >> it was an excellent report makes clear that new's organizations in the united states essentially became the arms of russian intelligence. >> what role did new's

organizations play? plus. >> drinking water that is not safe to drink in a major city. how could this happen and what are hundreds of thousands of people supposed to do? >> tiz the season it stress out over the perfect gift. it is all "happening now". we begin with with a new escacanalation in the south china sea. the u.s. accuses china of stealing an underwater drone. >> i am jenna leely. >> and i am leland vitter. the u.s. navy drone was collecting scientific data for a u.s. research vessel. the u.s. has filed for a protest

with china. >> in the meantime joining us now gordon chang north korea takes on the world. and comcoming cocan lapse of china. >> it an act of war because the chinese sewed u.s. naval will property. they tried to do it when they harassed an unarmed u.s. vessel and they were unable to do that. but they harassed the votage. it was interfered with in the yellow sea. they said they rammed the votage. but whether you sews a drone or aircraft carrier, this is an act of piracy and act of war against the united states. >> what did the president say?

>> he is look in the camera and say that the united states will use all elements of the power to obtain the return of this drone and if it is chinese don't send it back immediately. we'll impose cost cans on china. the reason they are interfering with with u.s. navy and air force, we never imposed those costs for unacceptable behavior of interfering with our freedom on. something has to be done and if it doesn't, it will get worse. >> you think if the president said something that he would be believed. >> i believe that the chinese don't believe what we say. the chinese are not going to get serious until we show them we are. and therefore, it is a problem tis going to get worse and at this point, we cannot allow for

country s to grab u.s. assets. >> chinese senning planes around taiwan. and you have the evidence now that we have very big military installations on disputed islands that china built up. and i want our viewers to know the drone was taken 40 miles off of the coast of the philippine and the president there said we don't need you and prepare to leave the philippine and we have had a presence in philippines for many, many years. we are right on the eve of a transition of government? >> this is the chinese sending a message to the president-elect that they are willing to it act and the question is whether he will back up. it is a test of the u.s. political system in general.

there are so many things happening in the south china sea that means that china is testing the international system in general. these are points in history that are inflection points and they see our reactions and they don't believe we are firm in defending our principle and friends and allies, the situation will get worse. with the philippines, he is genuinely anti- america and most filipinos support the united states and so we will ride that one out. >> watch the president's new's conference and watch for comments from president p elect donald trump as well. great to have you. >> thanks, jenna. >> they will be telling what president obama does or doesn't say on this issue as he takes questions from the white house press corps before heading off to hawaii for the holidays.

we have live pictures from the brady press roochlt no seal on the podium ahead of his last new's conference of the year or possibliy his president see. comes amid the allegations that the russians tried to interfer on the election for donald trump. hillary clinton blames the russian interferrance and james comey. the law makers from both parties are promising action. we begin with chief washington correspondent james rosen at the white house ahead of mr. obama's press conference. hi, james. >> reporter: with president obama vowing to retaliate for a deliberate effort to meddle in the united states election.

russian president vladimar putin unphased was on the other side of the globe in tokyo concluding talk and aimed at expanding economic ties between their country s and back in moscow a top aide challenged the president obama to document the hacking claims between the democrats and jon podesta. stop talking or produce evidence. otherwise, he added it begins to it look unseemly. in an interview, president obama referred to an assessment by the central intelligence agency that it was tilted for donald trump and the u.s. will inflict on moscow retalitory action. and the president made clear he was not suggesting that mr.

trump and the kremlin were deliberately cooperating in the hacking. >> keep in mind those statements inspector the context of everyone now acting surprised by the cian assessment that this was done purposely to improve trump's chance and my only point was, that shouldn't be treated as a blockbuster, because that was the worst kept secret in this town. >> reporter: of course, this is expected to be topic a in the president's new's conference and questions surrounding the administration's decision to with hold a briefing on the claims about russian cyber attacks, leland. >> james rosen in the white house, thank you, sir. >> we are waiting president obama's new's conference.

we have josh earnest not backing down on the claims of trump knowing about the hacking. we have john outside on of the trump tower in new york city. >> reporter: good afternoon to you. what a difference a couple of days makes. the president-elect was saying nice things about president obama and the first lady and the crowd booed. he said they are help envelope terms of the transsxigz now a war of words erupted between donald trump and the press secretary. we'll see what he says after josh earnest very pointedly said that donald trump anyhow what was taking place. last night donald trump responding to it that. we'll play what josh earnest said. >> mr. trump anyhow that it russia was engaged in malicious

cyber activity and helping him and hurting secretary clinton's camain. >> this foolish guy josh earnest. i don't know if he is talking to president obama. he's so bad the way he delivers a message. he can deliver a positive message and is sounds bad. >> reporter: earlier today. kelly ann conway said it is more political sour grapes because hillary clinton lost the election and saying how does josh earnest know what the president-elect knew anyhow what was going on and what was not going on? and why did the clinton campaign and the white house not make a bigger deal about this before election day? it is because hillary clinton never considered the possibility that she might lose, listen. >> i find it unfortunate when a press secretary is playing political pundit.

how does he know what donald trump knew and obviously anyhow and hurting hillary clinton? did you have person after person going on tv? did you ask beyonce and jay z shout out and warn everyone on it is hacking experience? no. they didn't spend a penny of the 1.2 billion in any source ads or campaign about it. why? because they thought they were going to win. >> reporter: kelly ann conway said scoffed at hillary clinton losing because of russian hacking and the fbi director sent out the letters before the election. maybe be what the hillary clinton campaign done is invest in michigan and wisconsin instead of taking them for granted. donald trump will be gone for a week or two. and he has a rally in orlando and one tomorrow in mobile, alabama and then a lot of

meetings over the next couple of week and christmas holiday. >> thank you very much. >> more on the white house. they a cows the press of becoming a useful tool of russian intelligence. is that valid or sour grapes? our panel will debate that. and another american city dealing with tainted water with. what we tell you. after an industrial chemical got into a water supply. crohn's disease. i didn't think there was anything else to talk about. but then i realized there was. so, i finally broke the silence with my doctor about what i was experiencing. he said humira is for people like me who have tried other medications but still experience the symptoms of moderate to severe crohn's disease. in clinical studies, the majority of patients on humira

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there is no denial on the part of the u.s. government that the dnc had not been hacked. and soine as new's organizations reported on this information. they were reporting on information that was stoleen and

the new's agencies are the arms of russian intelligence. >> josh earnest as the white house accuses reporters of doing the bidding of russian intelligence and he agreed with an artucle in the wednesday's new york times that said every major publication including the times published the stories about dnc and wikileaks being a defactor are tool of russian intelligence. we'll have fox news contributors, ladies, always a pleasure, judy tis pretty rich to hear josh earnest reporting about the new york times. >> it is. because josh is the source of many of them. this is truly pathedic. who ils can josh earnest blame for hillary clinton's loss in

the election. blaming the wikileaks, russian and jim comb canny and now it is the fault of the western media for reporting legitimate news which was the stolen or hacked e-mails that contained no matter the origin lejet mate news. i am amazed and would be amused if it was not so serious. >> is it time for democrats to come to the realization ta their candidate lost. we saw yesterday hillary clinton doing a thank you tour it, a lot of donors areang row that there is not a autopsy and she's blaming everybody but herself. >> i think it is time for the democrats to realize that they have lost and time to pull the democratic party together in a different format and way. >> judy, as we look at the story, the idea of russian hackers in some way trying to

influence on one side or other but becoming involved and stealing e-mail and putting them out. it is the responsibility of the commander in chief to protect everybody one way or the other. one might ask, why he didn't do it back in september. >> exactly what i was asking. i remember speaking about the race and every time we discussed the e-mails saying we believed that they were hacked by the russian and this is serious. every major new's organization absolutely reported the context and the origin of these. but president obama knew specifically who, how, and when and where the information was hacked and what did he do? i am on a commission and don't tell us that he will respond at a time or place of his choosing and he will be gone. and this will be laid in donald trump's lap.

i want a commission who anyhow and what we did about it. this is serious. >> this is a good point. kelly ann conway and john roberts this earlier. if you anyhow it in august, september and october when allege wouldly they did, why was not president obama talking about it? why not put that out there? judy, 100 percent or thousand percent correct about it. president obama should have done something and looked into it. it is too late now. >> more than that, to blame the media and say that the media actually is the hand maiden of the russians in this. it sounds trumpian because donald trump refused to believe and calls the charges ridiculous that wikileaks is russian in origin. but we've got to get to the

woman of this and you don't do the nation favors by underminding the lejetimacy of the press that is supposed to be a check and balance. >> this is essentially the white house and we'll see what the president said in a little while. he's undermined the scomplekz result and press and blaming everybody else as well. >> he is blaming everybody else. julian assange's lawyer i met with him five hours, we don't finish he's telling the truth. i agree we need an independent commission and get to the bottom of it. >> cian or cyber security said here's the proof and here's where it came from. >> as long as we have a desput between the fbi and intelligence community and branches of the intelligence community about the motive and origin and degree of this, we need clarity and we need a report that people can

believe in. this is a very serious issue. >> it is so partisan and applicabling it is a disservice to the country. >> ladies, merry christmas to it you. jenna. >> we'll talk about the media coveraging. reporters are encouragingect lengthors to go rogue and overturn results. and we are waiting on president obama's final new's conference. we'll have live coverage just moments away. for lower back pain sufferers, the search for relief often leads here. introducing drug-free aleve direct therapy. a high intensity tens device that uses technology once only in doctors' offices. for deep penetrating relief at the source.

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>> a fox news alert as we return to the top story. more about the underwater drone that the chinese naviy stole from a u.s. research ship.

the pentagon weighed in and said that they want the drone back in addition to a diplomatic protest that the u.s. government filed through the ambassador in china. this is a picture of what the drone looks like. it was in hostile waters near the islands that the chinese built up when it was taken. according to captain jeff david this is not the sort of conduct we expect from professional navies. we'll see if the president has going to say in the new's conference. >> and a push to sway electors away from donald trump. the voters have spoken. and we have meetings held in all 50 state and 538 elector will formalize. 62 of those electors have asked

for briefings on russian hacking and alleged influence and some believe that the media is encouraging those folks to go rogue and switch their vote. here is howard. talk to our viewers about the process? >> first of all, electors going rogue. the today of then republican electors to vote for the candidate who carried their state trying to deny donald trump is a skoem and i was not going to write about it. and i was surprised to see journalist that i respect. a cathlone parka who writes for the washington post both saying

that donald trump is so unfit for the president see in their view it is a idea. >> what do you think it will happen. >> i think it may be a handful electors to cast a vote. but the electorial college gathering to it vote in modern times is a technicality. they are not supposed to do whatever they want. and let's be clear about this. there is a tendency to joke about it. if it were to happen, this it handful of people would be hijacking the election and stealing the president see and invalidating the votes of 60 million people who gave him the victory. >> and you look at it, and the shoe was on the other foot and hillary clinton had been be elected and donald trump supporters saying this, how dew

think the government would be be different? >> main upon stream would be going hay wire and saying that hillary only won a narrow victory and we need the electoral college to revolt and they would be called crazy and threatening democracy and all of that. you are are not seeing that. and again, they are starting to be voice and mosty on the left and some on the right who were in the never trump camp who are so falling victim to trump trauma and horrifyed that donald trump won the election they will grasp at any straw to keep him out of the white house. fortunately, it will not work. >> that is another conversation. and we'll see you on sunday. thank you so much. >> thank you, jenna. >> who knew charlie brown could be controversial. a teacher is called out for

a peanut cartoon and it was a test of the merry christmas law and what it means for the teacher. >> and president obama riding a wave of popularity as he leaves office. and we'll debate it coming up next. constipated? trust number one doctor recommended dulcolax use dulcolax tablets for gentle overnight relief suppositories for relief in minutes and stool softeners for comfortable relief of hard stools. dulcolax, designed for dependable relief

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>> we are standing by for

president obama to give his last new a conference of the president see as he leaves the office with strong approval rating. 55 percent of the voters approve of his over all performance. this scores a big question in the campaign why the president's good numbers did not help hillary clinton more. she spoke about about the failed campaign. she said it was the fbi director and russian saying quote swing state voters made the drigz because of the fbi director comey. and the russian's beef against her. and i am joined by doug former advisor of president obama andy we didn't have a live camera for those cameras. and we are full screening them the best we can.

hillary clinton said the campaign tried to present the facts about the russians to the press and is that why she lost? >> from my point of view, no. she lost because she didn't have a compelling economic message for working class whites in wisconsin, pennsylvania and michigan and her numbers kept dropping and it was not fear of the russians or obsession of jim comey that did that. it was the fact that frankly secretary clinton ran in a campaign that focused on california, and new york and really ignored the electorial path to victory which donald trump won. >> did you you get an invite last night, doug? >> i don't think so. i am not expecting one. >> i know you worked with them a long time. >> i will let you know. >> for now. ian, a segment of the population was dismissed by the clinton

campaign in the serious. and you think it is a second dismissal of the voters by the democrats? >> absolutely. when hillary clinton came out with her basket of deplorables and that represented everything that is wrong with hillary clinton. she didn't have the right message and smart republicans were reloved when joe biden got out of the race. he more or likely would have been able to keep together the obama coalition and reach white voters. she's inspiring as a rainy day. >> let's step away from the politic and go to a big arer picture. there is a russian story. a former candidate for president saying that is why i lost and dismissing a certain segment of voter and the message of 2016, all things are are possible and

we have new energy coming in to the white house overshadowed by the russian story and blaming of another country in a interferrance of the election process. >> there is a bigger story, which is what the russians did in america is part of an overall strategy to destabilize the united states, western europe. and ukraine and the baltic state and we have seen tragically through syria and consist of assad's forces of aleppo. bottom line we are in a war with the russian and potentially the chinese, too and i wish we get off talking about hacking or not hawk hacking and about what we do with russian aggression. >> how does donald trump confront not only taking the office but also leading?

>> yeah, i think he's well positioned to do that. his cabinet selections show he's appointing people some of them ally and some weren't. he talked to chuck schumer. i think he will do what is necessary to bring this country together. and i think he will leave the campaign behind and democrats if it they are smart will stop top litigate the election and figure out on how to work with donald trump and when oppose them oppose himself. but relitigating the election will not do well for democrats. >> it is a traggil time and there is a lot to watch. >> thank you so much. >> thank you. >> charlie brown is back as a judge, a middle school teacher can keep the poster up complete with a bible verse on the door.

they teacher argued it is a protected expression of faith under the merry christmas law signed by governor rick perry. the school principal ordered the poster taken down. we'll have our attorneys here. nice to have you with us, richard, nice to see you, pretty interesting, now that we have seen the judge rule on it. wait a second, you can have a expression of faith be be it texas law allows it. >> it has to be secular in nature. if charlie brown was replaced by jesus christ can, the judge would have a separate ruling. in the merry christmas ruling, there has to be a secular point or character that goes along with the bible course and explains what merry christmas was about using charlie brown.

>> ashley, you so many to have a principal living in a world that is created where you you couldn't say merry christmas and everything was secular and he told the teacher to take it down and the judge said keep it up. noteworthy in fact, that the person supporting the teacher was nonother than the texas attorney general. >> i think the principal was right to tell the teach tore take it down. the problem be is, this teacher is an arm of the state. the state cannot enforce or promote any time of religious speech and this was religion. >> and to be clear, you disagree with the texas attorney ynl and the judge? >> yes. i think it violates the constitution. it violates the united states constitution that protects freedom of speech and right to have free religion in her own free time not in a government

school. >> richard, i am taking you agree or not? no, i don't. federal and state law, the purpose can't establish religion and in this matter what it says, that christmas is about the birth of jesus christ. that's what he said and she used charlie brown to bring that message. it didn't promote a religion and it was secular in nation and the first amendment protects hate search and you can talk about religion in a secular manner. >> on wednesday is when the school board voted to have it taken down and then the lawsuit took place. this is the texas attorney general. religious discrimination toward christian is a holiday among certain groups accord canning to the texas attorney ynl and donald trump weighed in a broad are sense to the war on christmas.

>> so when i started 18 months ago, i told my first crowd in wisconsin that we are going to come back here some day and we are going to say merry christmas again. [applause] merry christmas. and so merry christmas and happy new year. but merry christmas. >> so ashley you can have the last word. will the pend uponulum swing back. if he appoints a conservative supreme court justice you may get more of the merry christmas law and the court interpreting them. >> you are allowed to have merry christmas and religious symbols, but a question of who in a government subsidized school. the government can't support one religion over the other. what was a religion that was

islamic, something that was celebrated and a phrase supported a muslim religion that is not the majority in this country, we would view it differently and that's what our forefathers came up with the freedom of speech. and that's what the entire country was founded on. >> thank you for being here. and i am upon not part of the government and merry christmas. >> merry christmas to, everyone. thank you. >> officials are lifting a ban on tap water in outlying parts of the city and keeping in place for resident. earlier this week the city government said an industrial chemical leaked in the water supply and telling people to use bottle watering for all drinking and bathing and boiling the water did not make it safe.

grocery stores are running out of supplies and tensions are are building and sparking protest. and the company identified as the source of the spill is not taking responsibility for the leak but it is cooperating. leland? >> jenna knows a lot about this. there is an art to gift giving. etiquette and a christmas crash course. and the tsa updating the story of a sad teddy bear homesless next to a trash can. why he was left behindine though he had his own boarding pass.

>> more news for the west coast can. storms swept through the san francisco area. this is video of the ships if you can see them there.

they cap sized in the bay. one was a ten to the 65. the coast guard is searching for victims. no one is believed to be drowned but wild weather out west. >> right now, we are minutes away from what is likely president obama's last new's conference of the year. live look now. and the presidential seal up on the podium there. and correspondents are getting ready. the president will walk through screen left on the top of the hour. we'll bring it to you as it happens. >> we know it is it a wonderful time of year and choosing giftses can be stressful and with christmas around the corner. what is the right gift giving etiquette. he is an expert gift giver. and he didn't bring anything in the studio. it is not the right time of year to give gifts. >> it is the worst time. everybody puts all of their

energy in gratitude in the same four week and the other len months it is like crickets. >> how your gratitude. and we'll pick good things and gift cards are not the way to go. >> they are the worst. they say it is the thought. it is a thought will thought and gift cards are opposite of being thoughtful. if you want to do something, take the time to pick it out. and if you don't have time it. >> food and wine also on the top of the list. >> do not dos. so most people are eating and drinking themselves to death. and even year round. you are looking to make an impression and when it is gone after you drink the bottle or ate the fruitcake. and if you are look for example roi. >> what is roi. >> return on investment. gift cards are out and food and

wine are out. do you have any other ideas in the studio. we don't know what to give after that is over. >> most of the people are following the same playbook. no one is talking about this and everybody are like sheep. >> if you can say top ten not to give and that includes the list we just mentioned what are the good gifts? most people like g and hosting at their house. we recommend knives and things that are useful and tie in to family and food and be be around for 10 or 20 years and most people would love to have a nice set of knives or cork screw but not saying, i will drop 500 on knives. >> you have to spend 500 on kniveses for a good gift. >> notes inially. i threw out a random. it could be a hundred or 5000.

but less gifting and do it well is better than gift a gift to everybody. >> final question. sometimes you have your list and this person is on the gift list and this is not. how do you gave great that. would you invite them to the wedding. and your kid is getting married and they made the wedding list, they are probably a friend 10-20 years and we try to gift everybody be and that is not realistic. and we do it vanilla. >> i will have a serious conversation with our controller on what they are getting and not getting this season. great to have you and good tip and giftology. leland. >> no coal on the list. nfacebook getting in the fact- checking business. how the social media giant wants to crack down on fake new and claim to do it without trampling on free speech.

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facebook is now bringing in outside fact checkers to try to keep fact news out of your feed. the companieds to weed out the worst of the worst. users weed out the story and sent to a third fact checker

such is as abc news ap, snoeps to investigate. if it is considered doubtful. it is disputeed on the news feed. and then facebook itself will marginalize headline andy we have quick bait and stop the automated ads that reward fake news. and a lot of it is reader generated and no filter or editor and responsibility to be accurate. and some do profit by posting the story like the one that said the pope endorsed trump. and the protestors were paid three grand to disput a rally. both of those got more share and comments. and here's the concern.

they in the past demonstrated a liberal bias and this is a an experiment leland facebook hopes is contracted. and they hope to weed it out. >> there are questions about facebook in the past. jenna. >> a sad big teddy bear going viral. and bounced from a airport. ine though he has no boarding pass, next.

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oh, that smells so good. aw, and it tastes good, too. we can provide the right care, right at home. tsa revealing the story of the giant teddy bear after was left at lax. turned out the bear belonged to

a grown man who was staging a stunt to post on youtube. bought him his own ticket. airline offered to check the bear as luggage. the passenger opted to leave it behind. on that note, see if the. america's news headquarters starts now. this sh a fox news alert for you now. we are awaiting what will likely be president obama's final news conference as president and he will almost certainly face tough questions about what action he plans to take against russia for its alleged election related hacking. hello, everyone. i'm melissa branson. in an interview with npr says he spoke directly to vladimir putin in september about cyber spying and made sure putin knew there would be consequences. american intelligence officials believe putin was directly involved in the effort to the interfere with the u.s.