happy, healthy new year to everybody, and good to have you on the coach today as well, rachel and dagen. we are back on tv monday at noon eastern time. join us, we'll be there. "happening now" starts right now.

following the president-elect in florida and we'll go to white house correspondent kev cannin cork who is traveling with president obama in hawaii, hello. the foreign minister of russia calling the obama administration embittered and dim-ç witted foreign policy losers. not my words but the word of the foreign minister in russia. this comes after president obama punished the russians for what his administration alleged cyber intrusions in the run up of 2016 elections and the including of three dozen russian operative and closing of two russian facilities that is not the sum

total of our response. we'll take a variety of actions in the time and place of our choosing andç some of which wi not be publicizeed the russian foreign minister said the country would retailiate and putin chose patience. as it perceives from international practice. we have the right to retailiate, we will not resort to irresponsible kitchen diplomacy. i don't know what that means but will plan further steps to restore russia and united states based on the policies of the trump administration. some on capitol hill areç skeptical of president obama's motives. >> if you look at what the president did in 2012, i know you reported on it, ed, but the president said tell vladimar, i

will have more flexibility. and so when he was willing to sellout the country and vladimar didn't take him up on the offer, it was a slap back just like in middle school. >> a slap back. this is the best part of covering politics, you can hear the back and forth and see it all unfold. serious stakes, but sometimes punches thrown inç between. we'll watch it and see how it worked out. >> i am glad you said that on kitchen diplomacy and not knowing what it meant. i went through my notes and didn't see it. >> and in the meantime president-elect donald trump said it is time to move on but signaling an open mind on russia

relations. and peter? >> reporter: today a senior transition official saidç the president-elect does not have any plans to it talk to russian president vladimar putin about the punishment handed down by the obama administration, because the president-elect focus is hearing out the intelligence agencies that are insisting that russia interferred in the election. and the president-elect thinks that enough talk about this already. he said it is time for our country to move on in bigger and better things. nevertheless, in the intf our country and the great leaders, i will meet with with intelligencç leaders next week to be updated. the president-elect is expressing to do the opposite of what the current president is doing. he didn't say whether or not he supported undoing the

punishment. >> that will be up to him and he will talk to his leadership and in the white house and make those decisions. >> reporter: today's guest list was susan coons and henryç ban and howard lorder which is head of a tobacco and real estate company anderal hub one- time advisor in the the george bush white house. and we have information about the new year's eve party that the president-elect and his wife and son baron will be attend nothing the grand ballroom. and two of the names on the guest list is music executive quincy joan and big- time movie star sly stallone. >> all right. thank you very much, peter. >> andç white house sanctions

russia getting praise and criticism while some law makers applauded the decision otherses say too little, too late. what is the net result of president obama's move when it comes to moscow. join ming now is the vice-president are for the center security policy. thank you for being here today, fred. many have been pointing out that russia is accused of sign are attacks for year and not necessarily new. what do you make of the timing of what president obama has done and do the sanctions have teethç >> i am very concerned. as someone who is leaving office as president, mr. obama has a responsibility to ensure the smooth tranition. the world sees this as a petty slap against putin and mr. trump. instead of reciprocating with

sanctions against the united states. putin mocked president obama and the sanctions and. shows that mr. obama has no credibility left with putin or the world because of his failed foreign policy. >> respondthat, the newest peg that russia will notç retailiate. they will not create problems for u.s. diplomats or expel anyone. and what more do you say to do. we don't have the level of important people they have over here? >> what always happens, they will kick out our diplomats thappens all of the time and the fact that russia did not do this is unprecedented. instead putin said he's looking forward to working with the next president. i fully expected 35 u.s. t that did not happen. >> president-elect trump said we

should move on. but he will talk about the information obtained in the cyber attacks to learn more. what should he do about the administration's move? >> i think trump is going to learn that there is a russian cyber warfare against the the united states. but has to find out how to deal with that and not engage in petty policy. we know that russia was able to hack a lot of democratic e-mailç because of weak cyber security by the head of the campaign and by hillary clinton's e-mail server. there are other factors to be picked. >> i want to help talk about the cabinet picks. what do you think of secretary of state rex tillerson in could he bring to at this time u.s.- russian si namics as past

experience with with the the country? >> tillerson has the leadership upon and experience to put together a new policy with russia th@d we can can go forward. i don't know the purpose of obama policy. we'll not sanction russia getting out of ukraine or crimia. we have to find new approaches where russia can work productively with the united states and i hope mr. tillerson can achieve that. >> we all heard the news as it is developing and digesting it. but with your level of experience and where with you have been in the world with awful th-- all of this. what did you think? >> i was disappointed thatç mr obama threw things like this in the elevenths hour of his presidency and based on intelligence that is not briefed to congress. it looks suspicious to me.

the world looks to our country to be peace and productive. this is time of behavior from a tin point dictator and america demands better. >> i have a feeling we'll talk to you again on many subject matters. thank you. >> a fox news alert. ç a fragile ceasefire negotiated by russia and turkey. it seems to be holding so far in syria. despite support of minor clashes with government troop and rebels. that is marking a potential break through in the syrian civil war. kitty? >> reporter: for now russia and the u.n. security council to adopt a resolution to formally

embrace the ceasefire. it only started at midnight local time and mostly peaceful so far. ç reports of minor violation. and north of damascus, one person reportedly killed there. and syrian government jets carried out several air strikes in response. over all elsewhere it is sxaum the u.n. and aid agencies are hoping to use the opportunity to get aid in the areas that are cut off by fighting. the syrian vice-president announced the ceasefire and it is the third formal ceasefire since the complex started. and several opposition groupsç signed up for the latest deal. they are reasonably optimistic and it does not include isis and al-qaeda- linked groups. russia played a key role and the first time the u.s. was not

involved in the negotiations. the russian foreign minister said that may change once the new president takes office. they are meet with talks in kazakhstan in february. the seize fire has to hold. we have seen how fragile it is. >> deteriorating relations$c@&h% between president obama and vladimar putin. the president hitting with sanctions against russia. and the next guest said the president's actions come a daylight and a dollar short. plus, cheapest places to travel this winter and how to avoid aggravation. asthhe kids to get a repair estimate. i just snapped a photo and got an estimate in 24 hours. my insurance company definitely doesn't have that... you can leave worry behind when liberty stands with you™ liberty mutual insurance what's the best way to get v8 or a fancy juice store?s?

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>> president obama striking scombak telling 35 diplomats and their families to leave in 36ç hour and russian putin is unphased and said he will work with president-elect trump when he takes office. >> and senior writer at the daily call canner and host of jamie weinstein show. j, the russians could have related and they didn't do it.

is this patin being gracious and mag nammous and sending a clear signal that he thinks that president obama is irrelevant. >> i think that is right. i thinkç putin is biding his te and playing it cool. he did close the anglo american school and after our congress passed a law he far bade adoption of russian orphans by americans. but putin is waiting for better weather in washington and i think he will get it does this underscore that president obama u(ráed too long and even bite assessment of democrats, weak and tim and i had tardy?

>> what president obama giveth by executive order president trump will take away by executive order. sanctions will go by the way side. he could do things and a lot of russian policy wonks suggested that obama could reveal the wealthç that he has stolen bit russian people. he may p be the wealthiest person in the world. that is information that the russian people are knowing and that is things that president trump can't. but these sanctions in three weeks will be gone. >> even the democrats are unimpressed. the senator on the seen the

forney relations committee by president obama are not sufficient and he's demanding enhanced sanctions. jar, are you notç surprised th president obama didn't do something more severe and utalizing offensive cyber capabilities to disrupt or cripple sensitive russian computers? >> i wonder what we are doing secretly? and i knew we were going to talk about this. i did an interview with john mccain. it is dated and away. but he had a briefing on cyber issue and it was the most terrifying briefing he had. we in the united states were way, way behind and we had to get moving. ç maybe we have gotten moving, i don't know. but the arena of cyber is important and it is the fut and you are russia is wise to it.

i wish the russians were as interested in building up their country as they were in other countries. >> the information taken by president-elect trump saying we have to move on. you think he may have a better sense that americans at this juncture would prefer conciliation over hostility? >> heç certainly wants that. there's no evidence that he has any desire to stand up to russia and in his entire campaign. it seemed like he had a man crush on vladimar putin. he said a lot of bad things about other people but not putin. and putin is in a controlling position. obama's long- term goal before these sanctions was to undermine russia's economy. but as donald trump moves in the

oval office. look at the vision of vladimar putin. all of his goals areç achievedn syria and beyond and donald trump will relieve the sanctions. >> you think putin is manipulating trump and trump is being duped? >> i think putin is trying to maup inulate trump. he's not necessarily being duped but he doesn't seem to want to stand up to him. >> jay, are you worried about the reports that trump is so beau beholding to russian banks or russian businesses that that may beç shading his view on th subject? >> i just don't know. i doubt it frankly. i think the release of tax returns might be illuminating. i don't know f. i may, the talk of moving on amuses me and i

think of the 1990s, the clintonian phrase move on. in some respects, the parties have traded places. >> we'll wait until hell freezes over when we see those tax returns. thanks. >> and a u.s. aircraft carrier readyç to go to the persian gu to fight against isis and what makes this important? and concerns news for home buyers. mortgage rates climb and home sales fall. our next guest said things are still looking up in the housing market in the new year. as i was researching my family tree, i discovered a woman named marianne gaspard... it was her french name. then she came to louisiana as a slave.

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>> are you looking to buy a new home in the new year? mortgage rates continue to rise and they are blaming the prices on higher price and limited homes on the market. what does it mean for the prospective bares. joining me is katrina campden.

>> thank you for having me. >> a lot of new economic data. sales are down and enter rates are rising. where are you seeing the most weakness? ç many economist are pending it on low supply and increase in mortgage rate and higher prices. it is important to know it is above the in the index and means that they are contracting faster than they it is right before the controversial election. and they are waiting on the sidelines to see what transpi transpired. the key to housing is job and better wage and householdç formation and drives homeownership. and that's what president-elect trump planned to do in 2017.

and his plans to it reform taxes will help the american buyers. and i am very bullish. and there is a lot of talk about the middle-class and how high will that help the middle-class buyers. >> interest rates stays around the four percent mark or less and they will be new traized by the job and itç is slated we a supposed to 2 million jobs in 2017 and it will be new traized partial with the increase in wages for the middle-class. they have gained a lot of wealth through homeownership and that is something that president-elect trump wants to do and he wants to improve the economy and as long as it stays

by the four percent mark the american people will be very happy and confident moving in 2017. >> i don't know about you. we love thoseç shows about p flipping home. house flying is at the highest level and we have seen reports that suggest that the high end market for housing is softening, what do you think? >> my focus is the luxury real estate market. there is little more supply in that niche of the market and if things are priced well they are still moving. most of those buyers are cash buyer and not affected by the mortgage rates. and here in south florida are, we have seen the luxury market slow down a little bit, especially rightç before the election. right after the election, the confidence of buyers has increased. i have a lot of buyers coming from an overseas sxhashth wanting to put their money in the united states and a lot of

freeman the northeast and can't tolerate the snow in the winter months are coming down to south florida and spending more time in south florida. >> actually, i did an interview with vanilla ice. he flips houses right where you are and you probably have seen his work. >> we have a lot of mutual friends in common. i heardhe loves it. and it is a fun aspect p. >> we'll look for you in the new year, thank you so much. >> and speaking of the economy president-elect donald trump vowing to kick it in overdrive and pushing gd, up to 4, 5 or 6 percent. critics are accusing mr. trump from shying away from that promise. and our next guest said he's keeping his eye on the prize.

and did negative coverage make mainstream media the biggestç loser are of 2016? howard kurtz said it's a blessing and a curse for the business.

>> as we head in the new year, we are looking at biggest new's

stories of 2016. the presidential election tops the list and how did the mainstream media fare in covering something we see every four years. howy, god to see you andç happ new year. >> happy new year. >> you describe the mainstream media as the biggest losers, why? >> not even close or a debate anymore about the media and the way they boshed the election. most of the people in the business went to the morning of november 8th and predicting that donald trump would lose and he's failing to grasp the appeal and many working class voter and why he might win and same time it is a paradoxç and he continues to

bash the dishonest media he's good for business. ratings for cable news, and fox number one. and web traffic soarring and newspaper subscriptions are way up. even though they blew the election, cash register ares were ringing! you think the mainstream media will move in the trump opposition camp? >> i think many outlets that is starting to happen. it is dangerous and take the website slate that is liberal and now you get a pop up. president trump has declared war on the press. let us keep him accountable. i am for aggressive media coverage of the president. but a continueiation in the

transition of media groups saying trump is so different and slippery and a shady character we have to treat him differently than previous presidents, you are giving up theç claim of beg fair and that could continue to tarnish the already low credibility of most of the media. >> have the media been guilty of not being as keeping a critical eye on president obama as they have been perhaps on president-elect trump? >> well, it is varied from time to time. but eight years ago when president obama was president-elect. you didn't have all of the cabinet pick and policies that he would change. we expect when the white house changes parties someç of that will happen. completely different with donald trump. there were times when the president did things on syria and turned out you couldn't keep

your doctor under obama care or your plan. when there was more critical coverage. but eight years ago to now it is not close. there is an underlying tone here, gregg. some of the media not fully accepted that president-elect trump won the election and won it running against the media. it would be a calamitous move to coming year for conservative media outlet and personalities? >> remember that among those biggest never trumpers were conservative pundits and like national view and weekly standard and they will number a different situation with a republican president. and newer voices will enjoy

access to the administration. >> great to see you, howard and we'll see you on the air on sunday. >> new year's day. ç thanks. >> and right now, a new piece in the washington post said president-elect trump is tamping down expectations by repeatedly moving the goal post on economic post. candidate trump claimed he could push gd, highest as six percent. but now the secretary is going to 3 or 4 percent. gd, hit 3.5 percent in in the third quarter. here to talk about it. fox news contributors. and executive vice-president of jamesç down can associate and doug shown former advisor to clinton and michael bloomberg. two of my favorite men to talk to on politics.

>> starting with with you, doug. the trump team has been all over the place on growth. what is really possible and what do you think they think is possible? >> look, i think the real answer is they don't know and nobody knows and economist don't have. what donald trump was doing is suggesting that we could do much better thanhthe 7 or 8 years o the obama administration has in fact done. whether four percent or five percent or six percent. time will tell. and we'll have to it see what happens with the infrastructure plan and if it passed the tax cut and remove of regulation. it is guesswork and you try to tamp down expectations at start. to play the game as the washington post is doing is

needlessly precise and particular in a time when we ought to beç looking at what policies he's going to do. >> one of the changes is massive tax cuts. can that lead to giant deficitses. >> i think doug nails it the washington post is trying to create a story from where no basis is substantiated. donald trump changed the conversation from redistribution and taking government money and redistributing to economic growth kwh which is a by partisan bestç practice and is used by republicans and democrats. it is a bed rock of their economic policy. but donald trump is returning us to the time of what improves the lives of all americans. and economic growth is the

rising tide that makes us all grow. >> john kennedy had six percent growth and ronald reagan had four percent. that is step one and certainly other aspects of tax reform. and 35 percent dropping itç to 15. and that's what gives people money back. when they have more money, they spend it. and that's not really evaluated in the academic studies. a doctor 20 has impact on wages. you will see 3 or 4 percent growth in the first half of the trump term. >> if trump ends up cut canning taxes on the wealthy, wouldn't that contradict the ta. cut for

the middle-class. >> the trump plan will revenue neutral. we can't tell until what paul ryan said and the democrats are willing to go along with with. there ways to reduce the rate and make up for it with with tax preferences. ntrump has claimed a rise butç isn't it still president obama in >> economic xhk growth and a >> and they are based on perception. you have a president that will focus on job creation will. and they bring more leadership on the house.

and no doubt when high about american jobs coming back. and incentives that is stifled. thatç did you can see is i can can see years of nine percent did crease. and donald trump brought it up more than politician on the left and why he's success. in selling the miscellaneous amg. nojust for the rich, and lr happy new year. >> gregg. >> getting home fromç the world'ss aboutest airport.

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the city of atlanta will allow the ride boosting apps at theç airport but not such a good deal for airport passengers. if you want to catch a ride $4 in fees plus the fare and there's that. >> no matter how often you fly you can't beat mother nature. winter weather can cause thousands flights to be cancelled. there are tricks of the trade. and jamie, joins us founder of the forward cabinet and member of frequent traveller university. good to see you. tip number one. ç avoid flying into wintry place and that sort of sounds obvious, but there is more to it, right? >> yes, many of us have connections in chicago and detroit and new york. they are prone this time of year

for winter weather and snow, sleet and connect in miami, charlotte and salt lake city and los angeles. places who don't have an obvious chance of weather. you will have a better chance of getting on time to your disastation. >> don't fly out the last night of the night. and find out where incoming aircraft is coming from. and lounge access is your friend and know back up options and how do you find out where your incoming aircraft is coming from. >> on the airplane apps, look at your flight and in the bottom you will find out where it is coming from. and look it up on google it. there are certain subscription. and call the airline. once you are at the airport a gate agent could tell you that information without a doubt and track that information fthat

income canning arjraft is delayeded. you will be delayed as well. >> and the last one, i'm a bit confounded by. know your back up options. what do you mean by that? >> you should know the alternate routes of getting there and if your flight is going to be cancelled. know what other way to get there and perhaps a next flight on another airline and perhaps a different connection and know how many seats are available and be ready to strike once that cancellations or delay happens. if you arp standing in line and wait withing for them to tell you the options others may >> the wallet is thin right now. talk to us about bargains and good prices.

>> this time of year, there are good prices to the places that are cold are. fsh notes to and upper northwest. 4-pbecause no one wants to go through. and >> we are seeing the fares in the 300 says and 200s. timmically they are 2 or 3000. but they are 2 or 300 on norwedgian. >> and finally, i want to ask you about the frequent flyer member and how do they make best use of that? >> sure, we are seeing revenue based model. and accumulating more flying anç

spending on the airline. accumulate by the credit card and shopping with with the credit card. don't horde them for the honeymoon or vacation. availability is very tight and the planes are packed with people. and the airlines don't need to release that reward availability. just find that next seat and go where you want to go. >> is airline consolidation good or bad for the consumer are? >> right now, there is increaseç markets in less markets. and we are seeing a lot before the routes. dallas to los angeles are. spirit also flies that route. prices are much less. we are seeing good competition and seeing negative affects as well. and the airlines are trying to

compete in the cooeriers. >> good tips and thank you. happy new year. >> and a u.s. war ship heading back to the middle east. why the ship's journey back to the persian gulf is so crucial? if you head to the bank and wait to get approved for a mortgage, that newly listed ranch will be gone. or, you could push that button. sfx: rocket launching. skip the bank. get approved in minutes. lift the burden of getting a home loan with rocket mortgage by quicken loans. good bye.

hello, everyone. russia says they are sending a special plane to the u.s. to pick up their diplomats. plus, president obama to make a kpa rare visit to capitol hill next week, trying to save his signature piece of legislation. will he be successful. a small plane goes missing after taking off from a cleveland airport. the latest on the search on "america's news headquarters" coming up. the next navy carrier ready to ship lout.

george h.w. bush. live from the pentagon with the warship preparations. >> not only is there no warship in the middle east, but there is no aircraft carriers anywhere else in the world right now. this is after they return from norfolk. the uss george h.w. bush deploys next. jets landing every 60 seconds, the crew working to get that down from 30 seconds. the ships commanding officer says they're ready to deal with russia or china. >> while we don't have any emerging or pending conflicts with them, it is fair to say we

have many interests. we are prepared to understand where we're at if necessary. >> there is history with this chip high pressure the first air strike against isis on august 8th, 2014. that ship is getting ready to return to the fight. >> this is the military equivalent of spring training. once we cleat this, we'll be going forward and it will be real forces that will be going flying with and against. >> and the average is 18 to 22 years old, they work long hours and this is all training. >> very cool report, live from the pentagon, thank you. >> bringing in the new year with an interstellar light now. the final 30 is next.

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speaking of new years eve, stargazers could be in for a galactic light show because oaf a comet. >> nasa says it will be passing near the moon tomorrow night. that comet should be be able to

be seen. >> we invite you to do that. we invite you you to have a happy and healthy new year. >> sanctions levelled against moscow for their meddling in the presidential election. now 35 russian operatives must also lae the country and there could be more action taken. vladimir putin said he will not force american diplomats to leave moscow nor does he plan to close any visit. it is sitting on 45 acres at