we have fox contributor phil flynn standing by. here is a look at dow futures who paired the losses, now down 30. we have guests on national security, markets, terrorism, it is a packed show. keep it right here in fbn:am, we will be right back >> the syrian regime and president bashar al-assad are responsible for this attack and i think further it is very important that the russian government consider carefully their continued support of the assad regime sorry, just getting a quote on motorcycle insurance from progressive. yeah? yeah, they have safe rider discounts, and with total loss coverage, i get a new bike if mine's totaled. but how's their customer service? great. 24/7. just like here. meat loaf! [dings bell] just like here. anybody got a pack... that needs leadin'? serving all your motorcycle insurance needs. now, that's progressive. ways wins. especially in my business. with slow internet from the phone company, you can't keep up. you're stuck, watching spinning wheels and progress bars until someone else scoops your story

phil flynn watching big movements in energy from the cme lori rothman on the floor of the nyse. lori, we're down triple digits again! what are the traders saying? >> let me give you the scuttlebutt, david and chairman. delay in tax reform first and foremost. we heard from boston fed member eric rosen again. he is a non-voting member of the he he commented on the balance sheet. that set off some flags. fed with the beige book. not terrible, but the comments equally split. u.s. economy that is, equally split between modest and moderate. not overwhelmingly rousing in terms of the fueling the fire of growth here. so that kind of led to after ibm after the bell last night, this time 24 hours set the tone and slashed all points off the dow. kind of a meltdown from there on. cheryl: thank you, lori from the floor of the new york stock exchange. phil, you have got oil, really getting slammed today, settling down nearly about 4%. what happened to the contract? >> cheryl, it started as a trickle. we got inventory data today was actually kind of supportive for oil. we saw a drawdown in cru

here with a recap of the first day of the new quarter, phil flynn watching oil and gold from the cme. lori rothmans, on floor of new york stock exchange. lori, how many political events affected those situations on wall street. reporter: you can bet, david, this trading floor has the ear glued to everything coming out of washington, d.c. i think that has probably somewhat to do with the dow made up 100 points. it was looking good last couple minutes. also economic news. the fact that construction spending came in at the highest level in 11 years. obviously very bullish for the u.s. economy and the markets. really putting a cap on things. disappointing auto sales, especially from u.s. makers, ford, gm. fiat chrysler all down cite a bit today. in order even worse, announcing its third recall in just one week's time. basically the latest 52,600, 2017 f-250 trucks because apparently they roll away even when they're parked. obviously a problem there. on other hand you have tesla. that has bigger market share than ford. reporting fantastic sales. tesla, 25,000 vehicle deliveries that is a 6

pretending to say he knows or the right to declare that general flynn committed a crime. >> david gregory. beyond the procedure that philing about. remember michael flynn was the first named adviser to then candidate trump. he was with him all the time. >> shoulder to shoulder. >> we interviewed him several times because he was the spokesperson many times on many subjects for the campaign. why didn't they vet him more closely? >> i think this is the real issue. you have somebody who is extremely close to the candidates and the president-elect. then the president who has ties to a foreign power. that foreign power is judged by all of our intelligence agencies in the country to attempted to manipulate our election. and he turns out to have lied to the vice president in terms of contact was the russians. this is a huge problem. i don't know what the legal exposure is for general flynn. that is a process that the investigation is going through right now. both congressional, fbi and we will see how that plays out. the judgment, the lack of vetting, the inability to apprehend by the president or anyone else that may be russia

phil flynn. thank you so much. m the oil companies sued in rms of first-quarter earnings. were you saying? >> phil is right in the right in opec stays within the supply bookends, then at the end of the day you will see oil continued a trend of higher. maria: i would think given the policy is a tapping into the energy or, having more supply on a global market, that would be prices lower over the long-term. >> the geopolitical risk bodes well for oil prices. with your left, look to your right is something going on somewhere. >> is good. for the u.s. industry, are merging a little bit more as opec pulls back. dagen: use of energy sector in terms of giving us more leverage on the world stage, every make it easier to pump oil in this country, it gives us more control muggeridge for example and julia turner pointed out the fact secretary of energy as part of the national security council. it is significant. the ability to produce fossil fuels here in the united state is an important point to making us less reliant on coun

hiding from the public or from congress about mike flynn, and they're not really fwifg us any answers to those questions at this point. >> you know, phile white house, we heard from sean press secretary, he is blaming the obama administration. general flynn went to moscow in 2015, but in 2016 during the obama administration his security clearances were renewed. so you have a problem, blame the obama administration. >> look, there's threw people at fault. forget about obama, forget about trump. the first responsibility -- and i went through this confirmation process. it wasn't a confirmation process for flynn, but there has to be a process to go on the national security team for the president. first responsibility is for him to declare what he did. it is not clear he did. the second, you're right, is for the defense intelligence agency and they have questions to answer, to secure somebody's clearances over time. is he recertifying he is not taking money from foreign governments. time out. i'm throwing a penalty flag. for the white house to say, we don't have anything to offer on whether we vetted him for a top secret job is a little bit

in the first instance they'll have to look at it for the reason that phil mud mentioned. if general flynnn his discussions with ambassador made representations about what the u.s. was going to do relative to the sanctions and this was a follow on meeting to that, they're going to need to know that. they will want to know what was discussed in that meeting and did and who authorized this meeting between prince and a representative of putin and was it part of the same discussion. that seems to me central to what they are looking at as is carter page because he's been a central figure in this. donald trump identified him as a principal foreign policy advisor. we know he's had multiple contacts with the russians, visits with the russians and now this story comes. if there were intermediaries between the russians and the trump campaign relative to what was to come this terms of leaks, he would be someone they would look at. i think both those stories are relevant to the investigations we know are ongoing. >> in the last hour i spoke to the congressman from texas, a member of the house intellig

he has seen it and there is no data that flynn collide with the law, there is a good indication that there is a serious problem here. >> what do you think, philg to testify before these house and senate committees general flynn? i know his lawyers suggested immunity. there is no indication anyone wants to grant him immunity. >> why would he testify? we have jason chaffetz just stepped into it by violating innocent until proven guilty. are we investigating individuals as the fbi does on the congressional side or determining how to protect america from russian hacks in a future election? i don't get it. snub two, when someone shows up to testify, including general flynn, if someone on the committee says they are found guilty before they show up, why would general flynn show up? i'm an lawyer, but i'll take the fee, if i was a lawyer, i would say, don't show up. they think you're guilty. why would you testify? >> everybody stand by. there's more information i want to assess with all of you, including ivanka trump as she faced a tough crowd overseas today getting heckled as she tried to defend her father. how she handled a rather tough situation.

phil, the idea, essentially is we didn't really have to vet him because he had been vetted by the other guys. anything that went wrong with flynns on them. >> i love comedy at 6:20 in the morning. let me give you two sp perspectives. chris, i have two top security clearances. >> in spite of the conversation. >> my point is if i take money from the russians today. is it the white house to determine what i'm doing? to suggest that is goofy. you know the person responsible? michael flynn to tell the department what he is doing. there is a second question nobody is asking. this is what somebody should ask sean spicer. forget about security clearance. when you are in the white house, you participate in sensitive discussions and military action and defense contracts. the question is was there an ethics form where he said i took money and in is where my money is invested. if the answer is no, that is a serious question. the white house has not answered that yet. >> it is helpful to look at the timeline. in april of 2014, he is forced out by the obama administration. in october of 2014, he is warned not to accept payments from foreign

phil, this is for you so pay particular attention to this. >> personally, i see no information or no data to support the notion that general flynn complied with the law. and that is he was supposed to seek permission and receive permission from both the secretary of state and the secretary of the army prior to traveling to russia to not only accept that payment but to engage in that activity. i see no evidence that he actually did that. >> the reason i'm giving it to you is because you have very strong opinions about what chaffetz said today. explain why. >> i think he's dead wrong. look. there's somebody who investigates whether there's a violation of law. that's the fbi. there's somebody in the executive branch who determines whether to take that to a court, whether to ask a judge and a jury whether someone has committed a crime. that's the department of justice. the congress has a role here. their role is significant. that is, can we protect candidates in the next election to ensure they don't get hacked. can we have a conversation with twitter, yahoo! facebook about ensuring that fake news gets off the internet? it's not jason chaffetz's

phil flynn will tell us how they ended the day. ashley webster on the floor of the new york stock exchange. ashley, you're watching another sector moving big after last night's strike. ashley: interesting, yes, the defensive stocks. david your point is well-taken, despite all the headlines including the u.s. air strike on syria the markets are pre much where they started six 1/2 hours ago. really a remarkable session when you think about it. but the defense stocks certainly moving higher on the us air strikes. raytheon makes tomahawk crews missiles. each one of those missiles costs $1.6 million. by my calculation, 59, $94.9 million worth of airstrikes on syria. but the defense sector as a whole moving higher. let's look at winners this week. caterpillar up 3.3%. a lot of it based on the hope there will be infrastructure spending that will be approved and moved through. caterpillar up for the day. also oil, you mentioned david, oil going up, certainly with the strikes in syria. but oil has been on the way up anyway. we're seeing che