host of cbs nbc's "strategy session," david faber. host of cbs nbc's "strategy session," david faber. captions paid for by nbc-universal television >>> breaking news this morning. there are reports that former "news of the world "newspaper editor in britain, rebekah brooks, was arrested this morning in connection with the phone hacking and police bribery scandal in great britain. there are some calls for the justice department here in the united states to step up its investigation of parent company news corporation. meanwhile, in washington, the president this weekend tried to keep pressure on congress to reach an agreement on a deficit-cutting deal as the august 2nd deadline to raise the debt ceiling nears. >> i've put things on the table that are important to me and to democrats, and i expect republican leaders to do the same. >> as deliberations continue, there were no face-to-face talks this weekend, and house republicans are expected to vote tuesday on a series of measures to cut spending and balance the budget, although they don

and now david faber who has joined us from cnbc. with the impact of this so far and perhaps to come. give us a damage assessment if it all stopped today. and is there any telling where this goes? >> certainly there's no telling where it goes, as you heard stephanie report, brian. we are, of course, and many investors are focused on what happens now in the united states. when the fbi starts to issue subpoenas, if fact they do, who knows who they will find, if they're looking for hacking, the possibility economists that they'll find that it occurred in the u.s. rupert murdock has really never faced anything like it. for his long career, he was unable to dictate the course of events. and he did an about face this week. he began this week with his arm around rebecca brooks, the woman who ran the news international. and les henton, a man who brought his sandwiches when he was 15 years old, who has been there for 57 years also gone. james murdock, number three at the corporation. from here we simply don't know, but it is far from over, al

david cote, president of the national urban league, marc morial, economist diane swonk, and cnbc's david faber. our jobs summit, coming up. >>> coming up, ohio governor john kasich, marc morial. [ speaking spanish ] and david cote, all here to weigh in on our if you've recently signed up for medicare or will soon, you're starting a whole new journey. and, like many people, you're probably wondering, where do i go from here? consider an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. call now for a free information kit and guide to medicare to get started. basically, medicare only covers about 80% of your part b medical expenses. the rest is up to you. a medicare supplement insurance plan helps cover some of those expenses. and that can save you up to thousands of dollars a year in out-of-pocket costs. plus, you can keep any doctor who accepts medicare patients. together with medicare, an aarp medicare supplement insurance plan could be the kind of coverage you're looking for. in fact, it could make a world of difference. call now for your free medicare g

david cote, president of the national urban league, marc morial, economist diane swonk, and cnbc's david faber. our jobs summit, coming up. >>> coming up, ohio governor john kasich, marc morial, diane swonk, and david cote, all here to weigh in on our "meet the press jobs & economy summit." that's up next. lasercomb from hair club. it's quick, easy and affordable, and the extreme lasercomb is revolutionary. here's how it works. d.h.t. forms around the hair follicle, which shortens the lifespan of your hair. the extreme lasercomb combats hair loss, causing the hair follicle to grow thicker, stronger hair. this new technology is f.d.a.-cleared and clinically proven to work in 93% of candidates. call now for more information and get this free info kit mailed to you in a discreet envelope. hair club is the largest hair restoration provider, offering all proven hair loss solutions: non-surgical bio-matrix process, hair transplants, hair therapies and now the extreme lasercomb. >> hair club is not about one tool. it's about all proven hair loss solutions. what separates us from all the other hair lo

david faber, i do want to ask you about this breaking story we're talking about.he cover of "the week" magazine, and it has rupert murdoch literally on the hot seat with the question "is murdoch's media empire nearing its end?" the fact that rebekah brooks, editor of "news of the world" has reportedly been arrested for corruption and some other crimes, how serious is this at this point? >> well, it's the most serious crisis that murdoch has ever faced, certainly, in his long career. there's no doubt about that. and i think at the middle of last week, it started to sink in for him. prior to that, people close to murdoch, david, tell me that he perhaps did not appreciate the depth of anger that was taking place in the uk, and perhaps for the first time in his long career, he wasn't out in front of something, wasn't able to dictate the pace of events. that changed the middle of the week. the beginning of last week, he had his arm around rebekah brooks. end of the week, she was gone, along with his longtime lieutenant, les hinton. of course, you asked about the fbi u.

cnbc's david faber joins us in new york for some insight. david, this has now reached to one of murdoch's top deputies. what does this do to his damage control efforts. >> he's been trying to do damage control since the middle of last week in some ways when he finally started to distance himself from rebekah brooks who resigned, of course, a couple days later. the scandal does not appear to have crested yet. despite giving up the purchase of b sky b for what would have been a $12 billion deal for news corp., a huge important deal they wanted to complete in the uk and, of course, letting go of rebekah brooks and his long time lieutenant les hinton. >> on a personal level for murdoch and especially his son, are they in some sort of legal jeopardy? >> james murdoch has got to be the focus right now. because of course rebecca brooks and les hinton both having been gone, james murder okay runs news international. he has the number three position at the company, essentially, after chase carey, an executive who's not part of the family. that is the

cnbc's david faber joins me now. there is no way to sugar coat the numbers. is the bottom line was the recession deeper than any of us thought? >> the recession was very, very deep. we had a very difficult time climbing out of it, no doubt. in fact, more difficult than many people had even anticipated given the numbers you mentioned, lester. job creation, as people know at home, is very, very slow. and consumer demand continues to be rather slow. in the first half of this year, especially the second quarter, the consumer was dealing with higher oil prices, not willing perhaps to spend as much given how much the price at the pump was going up. we're also in the middle of earnings season on wall street. while names like apple and amazon and google are making lots of money, the industrial economy, companies like illinois tool works, caterpillar, they're not saying particularly good things about the future. that gives us pause in terms of the second half of the year. >> we have been watching the stock market, some reaction, nervousness to the whole debt crisis. i

. >> all right -- >> david faber, unimpressed. welcome back to "morning joe."hn kasich talking about a crisis of leadership on "meet the press" yesterday. there may be new doubts about the current crop of potential white house leaders. so making front page news in "usa today," the top gop fund-raisers who funded john mccain's presidential run are reluctant to write checks for the current field of presidential candidates. joe, mika and willie all back tomorrow. joe and mika, at least. they sat down with pat buchanan and "the huffington post's" alex wagner to dissect the 2012 republican field. here's that conversation. >> chris christie, you know kris christie better than anybody else. you've hugged him longer than anybody on the set. >> very huggable. >> mika, knowing chris krchrist the way you do, do you think there's any way he gets dragged into this republican race? >> yes, i do, and i hope it doesn't happen. >> you think it does, you think it doesn't happen? when he's hugging you, is he whispering in your ear saying, if they just ask me nice? >> no, they're