♪ we're going cliffing ♪ cliffing >> no, look.the reality of your tape showed, mika, we went over the cliff a long time ago. we just didn't know it. look at the leadership we have leading us. it's like lemmings, folks. the reality is we do do a little cliff diving on the 31st at midnight. as dan pointed out, we're going to, you know, just hopefully pull the ripcord on the parachute and sort of gently go to a ledge, and there we'll sit for six or eight months as these guys do what they've done for the last six or eight months. >> okay. so we've got the latest here including president obama doing an interview for "meet the press." the senate is scheduled to reconvene at 11:00 this morning. any deal today would have to be rushed through both chambers of congress before midnight. as talks in the senate stalled yesterday, minority leader mitch mcconnell reached out to someone he believed he could help jump start the negotiations and perhaps deliver an 11th hour compromise, and that would be vice president joe biden. mcconnell and biden

as we talk about the cliff in stocks that could get cliffed, if we go up to the end of the year, youay want to take profits just for tax reasons if you think capital gains caps are going up. >> i don't want to catch the last 10% of a move. that ends up being an expensive 10%. >> you mentioned other opportunities within this space where would you look to? >> i think these two guys are occupying the sweet spot. that's really the fact. there aren't many good opportunities outside of it. the valuation is getting to levels that are budding up. against their growth rates. that's usually when you look to exit positions financially. >> reminder as we head to break if you want updates be sure to follow us on twitter. dan, of course, posts regular updates of his trades on twitter as well at risk reversal. finally if you are on facebook stay posted on our trades at facebook.com/optionsaction. our thanks, of course, to carter braxton worth. we'll see him next week. final call is after this as well as an unbelievable video you will not want to miss. back right after this. and you don't want to mi

president obama urges house speaker john boehner to take his deal on t fiscal clif f calling it something republicans can be proud o >> susie: i'm susie gharib.ud the c.e.o. of manufacturer johnson controls says business is looking good for 2013, but going over the fiscal cliff could change that. >> tom: and the u.s. treasury speeds up plans to sell its stake in general motors. is the automaker ready to stand alone? >> susie: that and more tonight on "n.b.r."! >> tom: unr the threat of ar white house veto, the u.s. house of representatives is expected to vote tomorrow on the republican plan-b to avoid the fiscal cliff. house speaker john boehner thinks the house will okay the package, trying to turn the heat up on president obama to steer clear of automatic tax hikes and government spending cuts due to take affect in 12 days. still, as darren gersh reports, there are some signs the two sides are narrowing their differences. >> reporter: house republicans say they're still working on plan a: a big agreement with the president to cut spending and raise revenues, but they were pushing plan b

look at capitol hill, the lights are obut nobody is home, just 4 days before we fall off the phys cav clif -- te fiscal cliff, congressional leaders are going to meet the president at the white house tomorrow. but the house is not scheduled to return until sunday. tonight, new information showing that mess is worse than we thought. we got t want to know what i did in the last five hours? i played a rnd of golf. then i read a book while teaching myself how to play guitar; ran n miles while knitting myself a sweater; jumped out of a plane. finally, i became a ping pong master while recording my debut album. how you ask? with 5-hour energy. i get hours of energy now -- no crash later. wait to see the next five hours. ♪ music kids will spend 15 minutes watching online videos like this one. brushing for two minutes now, can save your child from severe tooth pain later. two minutes twice a day. they have the time. >> anything dealing with social security ought to be off the table. >> what we should not be doing right now is slash the benefits of social security. >> we should take social security

look at capitol hill, the lights are obut nobody is home, just 4 days before we fall off the phys cav clif -- te fiscal cliff, congressional leaders are going to meet the president at the white house tomorrow. but the house is not scheduled to return until sunday. tonight, new information showing that mess is worse than we thought. we got the numbers to prove it to you. >> anything dealing with social security ought to be off the table. >> what we should not be doing right now is slash the benefits of social security. >> we should take social security off the table for the current phy fiscal cliff. >> do not cut social security. tom: many democrats pushing to keep social security off of the table in debt talks, we learn that the program is $48 billion in the hole for 2012, and small business authority barry sloan said that the entitlement programs are what got this country in this mess in the first place. i don't think that people pay attention to that. in the greenspan era they bumped up payroll taxes for excess money going in. about this is first time there are fewer people putting in th

fixing the fiscal clif could affect people on madicare...in about 15 minutes &pon fox45 news at ten someand leaders are speaking out against the federal government's decisson sandy victims in our state! myranda stephens is here with not be over.myranda? myyanda?hundreds of residents along the easterr shore were deeastated when superstorm sandy unleashed her fury back in october. but according to the federal emergency management agency... the damage just wasn't enough too warrant indivvdual aid. fema director craig fugate actually made that announcement tuesday... during a hearing in front of the houue. but today... during a senate appropriationn hearing... senators arbara mikulski and ben cardin told fema officials to re-think their decisioo!mikulski says the need for financial help is like somerset county... where a lot of the storm viccims are among the poorest in thee state! mmkulski 1244ww in maryland have some of the most prosperous countiee in america, but we also have some of the most poor and that's who got hit by this storr 33 fugate 3:22 i sometimes struggle with when we ay no

. >> i think we're going over the clif. >> if they are going to force higher rates on virtually all americans because they're unwilling to let tax rates go up on 2% of americans, then that's the choice we have to make. >> emily joins us live from washington and so ellie, did anyone on any of the talk shows offer something resembling a bipartisan deal, or was effort just negativity? >> when the weekend began, an official who's very familiar with this -- as we saw on the talk shows today, there's no word that anything has been added to anyone's calendars in the past couple of days. so is there hope a deal can be reached? certainly that hope is still alive. but is there a timeline in place as to when it will happen, that's not known. >> emily schmidt, for us live in washington. thanks so much. >>> a series of suicide car bombings leave five people dead in eastern afghanistan today, insui insure gents -- taliban has claimed tonight for the attacks. >>> the internet blackout is over in syria. meanwhile a car bomb went off near a mosque and homes killing 15 people and wounding 24 hours. another car

coming in, homeowners are bracing for the fiscal clif. should you head for the hills?iculous example of government over each. a museum at the home of are ernest hemingway is being told they will face fines unless they get their kity litter under control. ♪ you know how painful heartburn can be. for fast, long lasting relief, use doctor remmended gaviscon®. only gaviscon® forms a protective barrier that helps block stomach ad from splashing up- relieving the pain quickly. try fast, long lasting gaviscon®. relieving the pain quickly. 7,000 students drop out every school day. that's a line of desks more than 4 miles long. keep students in schoo visit boostup.org and take the first step. ♪ gerri: we talk a lot about the ever expanding role of government. here is the story that takes the cake. the famous cast of the hemingway meet -- katz of the hanoi museum are subject federal oversight. thanks to an appellate court rung, the museum must abide by the same laws regulating zoos are circuses. joining me now, hat ceo. thank you for coming on the show. appriate. i just don't ge

l clif >> reporter: yes, the president and malia obama with sasha and first lady michelle leading theta claus is coming to town. >> one! >> the ceremony of music and lights as the national christmas tree comes to light. >> i'm so excited for christmas, i can feel christmas already now. >> reporter: the holiday cheer, the spectacle of this illuminating condition tempered by thoughts of the fiscal cliff. >> they'll resolve it. >> reporter: this is 6-month- old evan mikulski. >> we are very concerned. i'm a federal government employee. therefore, that of course as us and something we hope they take care of sooner rather than later. >> reporter: the national christmas tree is surrounded by smaller ones representing every state. >> i'm just worried that it will increase taxes on like normal american citizens. >> reporter: the maryland tree is loaded with ornaments. one woman visiting from baltimore says she is concerned about cuts in program. >> especially for social security and medicare. my mom is about that age so that is one of my main concerns right now. >> reporter: a federal worker

president has adopted a deliberate strategy to a slow walk our economy rght to the edge of the fiscal clifarlier i asked republican senator richard shelby of alabama for his take on the comments from boehner. >> i believe that speaker boehner is on the right track. the president has not come uptown now, been deeply involved, that we know about , in any of these offers are counteroffers. dealers said he has been campaigning to meet. but he has to get inolved if he wants to avoid the fiscal cliff. i think that the speaker has indicated that he will try to engage in, try to meet him and try to avoid the fiscal cleft that the presiient is going to continue to say it is my way or the highway, that is another game. gerri: it is. harry reid today saying that the game is at chess game, and the republicans are the jets. here is harry reid. >> he has a problem. he has three quarterbacks. he cannot decide who the quarterback is going to be. that is the same problem republicans are having. romney is gone, but he is still in the background. we have mcconnell and boehner. who is the quarterback, mr. pre

a lot of people can forgive john boehner for playing the cards on the fiscal clif. he really doesn't have a winning strategy. because one doesn't exist. but i think the conservatives trying to buy a little upset. right now, there is no big name out there willing to challenge it. gerri: it is an interesting question. it seems like anyone who has that job is really hurting because everyone is all over the place. it is so hard to get them together. thank you both for coming on tonight, we really appreciate it. happy holidays and merry christmas, thank you so much reed thank you, gerri. gerri: next, many homeowners rushing to rush and to dump their property ahead of the fiscal cliff. dolly will join us after the break and dreaming of a ite christmas and then there is this. coming up, how mother nature is putting a damper on things ally bank. why they have a raise your rate cd. tonight our guest, thomas sargent. nobel laureate in economics, and one of the most cited economists in the world. professor sargent, can you tell me what cd rates will be in two years? no. if he

cliffed ends. >> i like that. >> a copy right. >>> speaking of the fiscal cliff we have breaking news in d.c. >> show a little leg, baby. >> i am not going to use expressions. we have a response. when speaker john boehner put out his counteroffer and said he was -- here is bowles saying he doesn't want his name on john boehner's proposal. the approach does not represent the simpson-bowles plan. i took the mid point of the public offers to demonstrate where i thought a deal could be reached at that time and says times have changed since then and it is up to negotiators to find out where the mid point is today. it is no longer operative apparently. >>> getting back to potential cliffedend. you saw a big bet on microsoft today. >> great news for dell and should be good news for microsoft. we saw somebody buy 3,000 of the jan 28 calls. means the break even is about 28.31. they think the stock will get back to the 29 to 33 range where it has been. >> it is time to visit jane for the look of what is up next. >> guys, they estimate $1 billion worth of goods move through every day but right n

does it looto you right now like we are going to avoid this fiscal clif? brilliant idea? it's interestinhow he does this. he initiates an ultimatum and the goes passi aggressive on everyone and withdraws from the field. it's really a bizarre and intriguing strategy whicch obviously has completely confounded republican eaders. >> yes, and the polls show that the american people are proud and -- probably ging to blend republicans now matter what happens. lou: slightly. >> therefore i think that is what you're seeing with president obama's attitude here. lou: does irritate you to think that they are going to blame the republicans denied republicans are basically saying, you know, we are going to step back because you're going to blame us instead of coming up with an answer, a rejoinder to the president's going after them. and they don't have a strategy. they don't have a mesage. they don't want anybody to think badly of them. >> he is back to being a community organizer. getting in their face. that's right. whether you like cannot. and then he steps back, as

. >> some possible outcomes of the fiscal clif negotiations could have a major impact on you.uld limit the amount of home mortgage interest homeowners could write off on their taxes. one proposal would cap the deduction at $500,000, half of what it now is. lawmakers also may limit tax breaks for second homes. distressed homeowners also could see major changes ahead. the mortgage debt relief act which waves tax obligation on the portions of the mortgage being forgiven is set to expire at the end of the year. new estate tax rules will likely kick in. the exemption level drops back down to $1 million from the current $5 million. that's causing a mad scramble to pass real estate and other assets down to children and grandchildren. >> it's like a feeding frenzy, everyone's worried that at the end of this year, there's only going to be a small amount, which is a million dollars that will pass free of estate tax and gift tax. they want to lock in the exemption this year, before it goes away. >> possibly, the worst thing for the housing market is if there's no compromise and we end up

for tonight, stay with us because we're going to lay of the fiscal clif proposals off.e more exciting than that? the politics behind them with the "a-team" next. look, if you have copd like me, you know it can be hard to breathe, and how that feels. copd includes chronic bronchitis and emphysema. spiriva helps control my copd symptoms by keeping my airways open for 24 hours. plus, it reduces copd flare-ups. spiriva is the only once-daily inhaled copd maintenance treatment that does both. spiriva handihaler tiotropium bromide inhalation powder does not replace fast-acting inhars for sudden symptoms. tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. these may worsen with spiriva. discuss all medicines you take, even e drops. stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, yo throat or tongue swells, you get hives, vision changes or eye pain, or problems passing urine. other side effects include dry mouth and constipation. nothing can reverse copd spiriva helps me breathe better. (blo

we're stuck between clifs and it makes me think about the great outdoors and pictures boehner between a rock and a hard place. i want to bring back the movie metaphor club with boehner's position and the precarious position of rolston the climatic moment of the film "120 hours" with james franco trapped by a boulder for 127 hours and then accepting that in order to survive, he must cut off his arm. he begins cutting, not for the squeamish. jonathan, you may call it gross but i see it as a triumph of human spirit. once he realizes he has no way out but the will to survive. he amputates a part of himself to live. this is john boehner right now trapped between two boulders. stubborn party and the power of the president. do you think boehner's realized to cut off a part of himself, this need to not raise taxes in order to survive so in this way he's choosing political life? >> look. some people would look at and particularly some republicans would look at boehner doing just that as survivalism. a whole knotter faction of the republican party look at that and call it unilateral disarmament

. >> we're going cliffing. >> still no deal in sight. >> they just shovel it out to us. >> washington still in deadlock. >> we're falling over that fiscal cliff. >> republicans simply can't utter the word yes. >> the president is, i believe, slowing down the process. >> they have no strategy. they don't know what they want. >> kim kardashian is pregnant. >> a lot of democrats get mad at me. >> no deal is better than a bad deal. >> something has gone terribly wrong when the biggest threat to our american economy is our american congress. >> hats off to the president. >> as of this point is looks like i'm going to be spending new year's here in d.c. i can come to your house? is that what you're saying? >> happy new year! >>> grab your party hats, chill the bubbly. just eight hours to go. yes, we are all waiting to cue the confetti with hopes for a last-minute deal to avert the fiscal cliff. with sweeping tax hikes and spending cuts set to take effect at midnight, frantic negotiations are ongoing at this hour with the president teasing the prospect of a deal on at least part of the cliff

alan greenspan explains why a fiscal clif-related recession would be a small price to pay for much neededlicy reform. all that and more. what's been happening on wall street today as we get to a final hour of trading at the top of the house on closing bell. maria in washington, i'm in new york. we'll see you then. >> we will indeed. sounds like an exciting show. thanks, bill. >> mandy, have to break in here, some breaking news on fiscal cliff. heard what bill said. some headlines out of harry reid which may not be good news for the market. harry reid saying the democratic party will not put an offer of spending cuts on the table for the gop. reid also adding he does not think we will have a deal on the fiscal cliff before at least christmas if not longer. so think about that. harry reid saying no, no, no. republicans asking us to present cuts. we want them to present cuts. clearly this is political gainsmanship. democrats want gop to be the one to go to the american people to say here is what we're going to cut from your entitlement programs, mandy. reid saying we don't think a deal is go

since you are no doubt fiscal cliffed to death and utterly fed up with the antics of our leaders in washingtonffer a different target. here's my take on foreigners. item one, piers morgan, he's threatening to leave america. he is british. he has been insulting and lecturing americans from his perch on another news channel. if we don't change our gun laws, piers morgan says, he will leave our country. piers, you've made my day. some of us immigrants from britain are tired, sick and tired of you giving us a bad name. i don't care about your opinions. americans don't like being talked down to. i will buy you a ticket to london. i will give you a stopover in paris, which brings us to item two, the french and their 75% tax. struck down by a french court on the grounds that it is unfair. that's interesting. the court said a household earning more than 1 million euros would not pay the tax. but an individual earning a million would. hence, unfair. we will resubmit and reword the law and when we do, we will catch even more rich people, so there. so to sum up, i wish piers well if he chooses to settle,

. >> that's what we've been talking about for the last month and a half is the clif fiscal cliff negotiationss say that president obama and john boehner and the republicans reach a deal and they are able to cut 1 or 2 billion fro2 bill 2 trillion over ten years. bill: think about what you just said. 1 or 2 trillion over ten years. >> that is nothing. we'll borrow another 8 or 10 trillion in ten years, we'll have done nothing to reduce the national debt. we are not even treading water, we are losing ground year after year. it's going to require fairly steep reductions in spending. the other thing we have to do is accelerate the economic growth of this country. let me just make one other point. we saw last week that the federal reserve is pumping record amounts of money into the economy. one of the things that we are doing now for the first time in our nation's history is that the treasury is borrowing all this money and bill, guess who is buying all the debt? it's actually the federal reserve bank and where do they get the money to buy the debt, bill? they print it. we are printing money to pa

was finally an agreement to increase the debt ceiling that resulted and intact much of the fiscal cliffingit created anything but the super committee and that triggered the sequester cuts if we don't get another agreement but the politics show while both the white house and congress got hurt by that, the republicans and coco got hurt the most. it's a pattern that republicans will start to get tagged and politics don't favor them as much as they think. they're also, looks like the white house maybe getting closer to a congressional democrat to other ways of getting around the debt issue. and we're one of the few countries that requires a celebrate vote on their own ceiling and it makes no sense whatsoever. host: tom is our next caller from plantation, florida. good morning, tom. caller: thank you. thank you for having here. you know, this whole process to me is pretty ridiculous. what would the democratic party be without the republican party to blame? you know, i would like each member of the panel and anybody calling in to explain to me how $80 billion is going to have any meaningful effe