Transcripts For CNBC Squawk On The Street 20130916

Facing opposition from both sides of the aisle, Larry Summers pulling out of the race for fed chairman. The onetime Clinton Administration secretary called the president to notify him. In a letter following the call, he wrote, i have reluctantly concluded that any possible confirmation for me would be acrimonious and would not serve the interest of the federal reserve, the administration or ultimately the interests of the nations john gog economic recovery. Janet yellen seen as a leading candidate, seen by the markets as less likely to scale back the Stimulus Program as aggressively as summers would have had he become fed chairman. Is this all about summers or Something Else . Summers is a patriot. He knew this was going to tear the country up. I know he wanted the jobs. It is kind of a big thing for him to do. He did not press it. I dont know why the president would pick yellen, because she is everything he doesnt seem to want. Total dark horse, probably doesnt get it. Stanley fisher, the professor that taught summers. Summers comes in and says, listen, you want to give me. Give us fisher. Turn it around. Israel. Turn it around, east asia. Imf in the 90s. Would be a radical shift away from who we would expect. Certainly, it would be within keeping with summers. Bank of england, we can bring in that type. Exactly right. Canada takes over uk. He is from mozambique. He is in zimbabwe, rhodesia. It will be a while. What can i say . I look at this and wonder and continue to question the ability of the administration to execute on the president s agenda and what that means for their tooblt do that and the debt ceiling fight that may be coming. It was clear all along that the president favored Larry Summers as becoming the next fed chairman. Why did he need to make those comments back in june about bernanke . Why . And who was the highranking official that told the Washington Post that summers was his choice. It might have been the president. They executed poorly for something the president wanted instead of taking a different route. John tester doomed the whole thing at the end. There was no reason if this was the choice they could have gone about it differently, and at least made me wonder whether we are going to have failure to execute when it comes to the debt ceiling failure. Kelly evans is here. Good morning. Some say it is a victory for the right. Others say a progressive victory at the president s expense. This was an issue where the democrats were among those most opposed to summers. We had a lot of the congressmen that signed that letter against him in the first place. We had a lot of economists that would be surprised about the president coming back against this. This depends on yellen being the pick. It is far that that is going to happen. For all parties involved. Because the president , for whatever reason, may simply want somebody else. The wall street journal reported this isnt just a smoke screen. Yellen hasnt been vetted. Are they restarting that vetting process . Who is being vetted . Jim, i hear the Stanley Fisher name as a dark horse possibility. He was Ben Bernankes thesis adviser. He is this figure that is also the guy revered in korea and asia. He came in with tough love for imf and is regarded as being the dean for all central bankers. It would be radical. Don cone, another name that gets floated around a lot. He was vice chair, came in in 2006. Now, doing consulting. He is speaking in washington around 9 30 on macro prudential policy, which is a fancy name for other kinds of tools to try and work on the economy. It will be interesting to see if he makes any comments given the spotlight that has suddenly shifted on him. Greg epp wrote, it is amazing people can form such firm views about summers with relatively Little Information about what he really would have done as fed chairman. Do you think we knew him or not . Hardly . I think that he is associated with glausster. I dont know if you have seen the blooper reels of the guy. He speaks his mind. Thats the last thing you want out of a fed chairman. It is great as an eternal adviser. First, it was completely inept. Didnt expect that from the president. Then, Elizabeth Warren is on that committee. Who did summers most anger . Women at harvard. Who is represented in the senate . A woman who taught at harvard. She wasnt even she hadnt even talked about it yet. Can you imagine those hearings . There are some people that are saying, if it was important to the president or important to the Economic Community to have a woman at the helm of the fed or to have diversity on the committee, aside from jenny yellen, you turn to a kristy roamer, who also has history with this while house, it is a long gap where there is a prominent macro economist. There are other women at the treasury like l. L. Brainard. Name me something the president did that immediately helped the stock market. He accepted a letter from summers. I saw a joke earlier this morning that the president has asked his entire staff to resign to lift capital markets. Can you imagine . Maybe he is looking at that 200, 250 days. Who is cross over. Wants to stop the hinden burg. He may be a technician. We just dont know. It is sort of an odd point to bring up. Bernanke. The chances of bernanke sticking around for a third term may not have gone up but they hadnt gone down. If it hadnt been for the president s comments about bernanke overstaying his welcome, you may say maybe he stays a little bit longer. Now, it is hard to see how he can turn around and have that happen. I think he is upset. I think he is kind of upset. I am going back to dylan, south carolina. He has had it. I think he has had it with the president and washington. Dont let it hit you on the way out there, partner. We should find out fairly soon. We cant wait forever. We are almost into the Fourth Quarter. Well find out whether it is yellen or cone or fisher and i guess geithner doesnt want it, or cramer or quintanilla. Where were the giants on the Fourth Quarter . Back by a bit. At halftime, they were looking pretty good. Manning looked good. Lets leave it at that. Just distinguish the mannings. In the meantime, this morning at 11 30 eastern, the president is set to deliver marks in the rose garden to mark the fifth anniversary of the financial crisis, expected to make the case since he first took office and warrant against potential showdowns over the budget and the debt ceiling. In the meantime, bart diamond says, progress in ending banks too big to fail has been unsufficient. They need to collaborate to establish a resolution to that problem. We will see what the president says late at the on this morning. Jim . Comments on abc, 42 months of job growth, 7 million jobs. An Auto Industry thats come back. Maybe he talks chrysler. Chrysler came back. They are doing an ipo. Di dimon. There was the dimon who wasnt very good and the one that is good. We had a piece about angelo mozilo. What is this . Some sort of resurrection thing. It is all about fiveyear stuff. It is five years taking a look back. Nobody went to jail. M mozilo paid a fine. It is interesting, once these guys were out of office or out of running their institutions, whether it be sandy weil, who did walk back his comments a bit last week but did say, it is time to break them up. Now, mr. Dimon is saying the same thing, interesting that they choose to do that. You will hear a different argument from the other mr. Dimon. A very different argument. He is doing this all wrong. He should tender for paul weiss, buy the firm, bring it all in house. He is spending 4 billion, 5 billion. Go buy a law firm. He could buy sullivan and cromwell, paul white. Think about the money you would save. What would it cost . I dont know what their revenues are. Less than 4 billion. It would be a brilliant move for a law firm. Thats true. Buy in volume. No more hourly rate. It is ridiculous he doesnt own a law firm. They are probably employing hundreds of firms. He should buy three or four firms and put it together. Did you ever pay one of these lawyers . 2,000 an hour. Microsoft should break apart . Right. Apple should buy twitter or netflix. And jamie dimon should buy cravath or paul weiss. Yes. These are radical ideas. Im not seeing any radical ideas from the people that run these companies. Dimon. Tim cook. I will do what cramer says and he will get off my back. Why not make it so it is a good morning every morning. There was plenty this morning. Industrial productions coming up in a few moments. Max baucus hosting a summit on jobs an the economy. What does he think about summers withdrawing his candidacy . Former merrill ceo, john thain. Futures looking to gap up for 1 plus. Hasnt happened a lot this year. In just a moment. announcer scottrade knows our clients trade and invest their own way. With scottrades smart text, i can quickly understand my charts, and spend more time trading. Their quick trade bar lets my account follow me online so i can react in realtime. Plus, my local scottrade office is there to help. Because they know i dont trade like everybody. I trade like me. Im with scottrade. announcer scottrade. Voted best Investment Services company. We are on pace for our best open since july 11th. The news that Larry Summers has withdrawn his name. Rick santelli is at the cme. Rick . August production expected to be up a bit. Due out any second. Of course, this is always an important number as manufacturing continues to be viewed as a sen continue nal industry. Up. 04. We are looking for something just shy of 78. We are very close to that at 77. 8. Also, no revision to our last look. On that 77. 8, lets put that into some historical p perspective. The high watermark is 78. 2 from march of this year. Carl, back to you. Thank you very much, Rick Santelli. With Larry Summers withdrawing his name from fed consideration, it may have been jon tester expressing his opposition. Senator baucus joins us from his sixth Economic Development summit in beaututte, montana. I hope you wont mind if i start with summers. The thinking last week was that the votes potentially were there, were they not . It is unclear. The main point is, its important for the president to name somebody who is going to help provide the confidence and stability in American Financial markets so we can keep our job growth going and get that Unemployment Rate down. I am quite confident the president is going to find somebody that finds that bill. Here in butte, we are addressing jobs. The president will do it by naming a successor to ben bernanke. Senator, it is jim cramer. Good to see you, sir. Hi, jim. This conference that you have is pretty amazing. One of the things i see you have is montana traveling to the balk can as an economic trotter. The president is not that great on that oil and how we have become very selfsufficient. What are you going to tell people about how the Energy Revolution can create big jobs in this country . We are blessed in america and montana to have so many energy resources. It is incumbent on us to take advantage of that. We should take advantage of our advantages. Thats a huge advantage we have, our coal and gas and our renewables so we can export, rather than inport energy. Huge implications. More jobs for americans. It will help address the geopolitical concerns. We are not imparting as much. It is very important to develop that resource, i think, very important. How do we get the people who dont have jobs up to where there are 2 , 3 , 1 unemployment. The balken, out west. These areas need workers. The workers arent there. Why arent we doing something to get the workers where the jobs are . Well, were training workers. Actually, the various Community Colleges in montana are very much focused on that. Part of our job summit here is to focus on what Community College in particular has got a 46 Million Software grant to train people to be Software Engineers and Software Manufacturing processes. Companies, more hightech Companies Need those kind of jobs. We just have to work at it. Keep working at it and were going to get there. Senator, i would love to get your take on another concern here on wall street or generally speaking, main street as well. Whats going to occur in the house in terms of a potential shutdown of the government, the intooblt raise the debt ceiling . Somebody that runs the Senate Finance committee. Do you see thats a real snoblt are you concerned about it . I think well work it out better this time than previous years. A lot of bitter taste in the mouth of those who dealt with august, 2011, debt limit brink. We dont want to go through that again. There is a bitter taste in the mouths of those who were part of the potential Government Shutdown a few years earlier. We dont want to go there either. It may be difficult. It would be a lot less precipitous than those other two events. I think well work it out. You do . Why do you believe that . The inability of the administration to execute on its agenda would leave some to believe they are just not going to get it right. Look at imdpramigration or the failure of mr. Summers who was not nominated but clearly was the president s favorite choice. It is because we have to. We have to pay our bills. We have to keep the government functioning. There is no choice. It is like a lot of events in life. The world is run by deadlines. We get close are to those deadlines. Im quite comfortable we will find a way. It wont be pretty but we will find a way. Looking at the minds you brought together, jim mcnerney, elon musk, cheryl sandburg, ed smith, a higher concentration of tech leaders than some might have thought given how people see montana. Should people be surprised . What are you trying to get across there . Well, this is becoming the davos of america in butte, man tan na, with all the executives we have here. It is a sharing of ideas and inspiration and positive attitudes of how to work to get things done. We in montana like to think, and i think it is true, we are a very cando, upbeat, positive people. We work hard. We dont complain. The execs who are here, the ceos who are here certainly have not complained. Thats how she got to where they are. They will give us insights. In the meantime, we have about 44 different panels more specifically addressed on different subjects, led by mon t montanans. We will get ideas and potential deals together. Followup is going to be the most important part. It may be the davos of montana, a gazillion times more beautiful. If you have never been, youve got to go. Thanks for your time. It is good to see you. Thanks. Max baucus of montana. Later on squawk on the street, well head back to montana for live interviews with the ceos of con ico phillips and delta airlines. Take a look at futures. We havent seen this very much. Opening up, 183. Well get that opening bell in just about eight minutes. [ bagpipes and drums playing over ] [ music transitions to rock ] make it happen with the allnew fidelity active trader pro. Its one more innovative reason serious investors are choosing fidelity. Get 200 free trades when you open an account. Just by talking to a helmet. It grabbed the patients record before we even picked him up. It found out the doctor we needed was at st. Annes. Wiggle your toes. [ driver ] and it got his okay on treatment from miles away. It even pulled strings with the stoplights. My ambulance talks with smoke alarms and pilots and stadiums. But, of course, its a good listener too. [ female announcer ] today cisco is connecting the internet of everything. So everything works like never before. [ male announcer ] staying warm and dry has never been our priority. Our priority is, was and always will be serving you, the american people. So we improved Priority Mail flat rate to give you a more reliable way to ship. Now with tracking up to eleven scans, specified delivery dates, and free insurance up to 50 all for the same low rate. [ woman ] we are the United States postal service. [ man ] we are the United States postal service. [ male announcer ] and our priority is you. Go to usps. Com® and try it today. Youve got 5 30 before the opening bell rings on this monday to start the week. Time for a mad dash monday style. Lets talk about a deal in the packaging. When you buy a company in your area, whether it be an auto rental or in airplanes or in packaging and paper, your stock goes flying. Packaging corp reaches in and the next thing you know, more consolidation in the industry led when International Paper bought templeinland, in another brilliant deal. This group is red hot. Because there is not a lot of supply. Isnt that great. Is it not amazing a small deal with ignite this . International paper can go through 50. This industry had so many players. It really is incredible to see the narrow nature and you know what happens. They can raise prices. They have never been able to raise price in this uncoated freesheet, container board. It has been a terrible business. It is going to be a great business. We are monitoring an active shooter situation at the navy yard here in washington, d. C. There is an active shooter on the loose. Authorities are searching for that person. We are told there is one injury at the u. S. Navy yard inside the beltway here in washington. We can see that police are on the scene of this shooting. There has been a shelter in place order issued for 3,000 employees inside this complex. You can see there a score of ambulances and police on the scene. We are getting reports that police are flooding the zone. This is taking place at building 197 in this active shooter situation. It was reported today at 8 20 a. M. There is one confirmed injury. Emergency personnel are on the scene. A shelter in place order has been issued for the navy yard personnel. We are told u. S. Capital police are aiding district of Columbia Police officers. They have stepped up security. As a precautionary measure, as they try to figure out what is going object over at navy yard. An active shooter. We are told he is still on the loose. They are looking for him right now. We will bring you all of the latest information as soon as we have it, guys. Lets discuss the areas we are discussing. This is an area that helps buy and maintain their ships and submarines, right . Yeah, thats exactly right. There is a lot of infrastructural work for the u. S. Navy that goes on here in washington. We north a major port city but Navy Officials and executives are here and the folks that die lot of the raising of the funds to build the u. S. Navys capabilities around the world. We have a little bit of more information from wrc, the nbc affiliate. Four people are shot. At least one officer is down. He or she was shot in both legs. They are calling this an active police scene right now. They are saying it is in the 1,000 block of isaac hull avenue southeast. Thats in the southeast washington, d. C. The Van Ness Elementary School nearby is on lockdown. The Montgomery County s. W. A. T. Team is on the way, Montgomery County, maryland. Thats significantly north of washington, d. C. Additional s. W. A. T. Presence is being rushed to the scene right now, carl. Obviously, this is a situation where they feel like they need a little bit of extra backup. To recap, four people shot now. Wrc is reporting at least one officer down. That officer was shot in both legs, carl. Thank you very much. As he says, police from multiple local and federal agencies obviously responding along with s. W. A. T. Crews. We will bring you more details as we get them. In the meantime, well watch that. The president speaking at 11 40 in the rose garden. You would expect him to make some sort of comment on that. With less than a minute to the bell, jim . It would be great if the president just said, here is my choice. Get this thing over with. Wouldnt that be terrific . My choice is, pro jobs and here we go. Put this thing behind. Move on right now. Thats what the president should do. He wont do that. No, he wont at all. He will talk about how great job creation is and things that are really good. Some traders around here this morning, jim. Find it hard to believe that this pop, the entirety is all summers. If it is, they are overestimating the degree to which summers would have been hawkish. I think summers was toxic to this market. We hate washington. We are about higher jobs and higher prices. Washington stands in the way. This would be another side show. We take a look at the old retime exchange. The ceo of the nyc, duncan neederlauer. Over at the nasdaq, the United States air force celebrating its 66th anniversary. Nice. In the air force. Im almost old enough to remember when it was created. Naval air and army air. Warfare forever. So what do you buy today if anything at all . Im not a buyer. I cant buy them up like this. I just cant do it. This one is happening without me. If you could buy lowes or home depot. You will come in and buy them too high and they will drop down. It is dangerous to chase right here, dangerous, not my style. You mentioned talking to kernan this morning. Coming back, it does open up. Additional possibilities down the road. Sure. There can be a restart of housing. Housing is interesting. Did somebody know something . Those housing stocks took off last week. There was no reason for them to take off. I think there was a very sub rule of betting that was going on that he wasnt going to get this job. It doesnt mean we are not going to get some form of tapering. It will likely be something and soon. I believe that he stood for reputation. The perception was he stood for that. Reporters new what was going on the whole time. They knew what summers and the president stood for. What they didnt count on was they didnt know what the senate stood for. Listen, he is going to repudiate bernanke and the president doesnt really like bernanke. You put summers in and say, we are done with that whole bernanke year. I think thats what this was about as a kick in the bud on the way. Give us the reason. We talked a lot. Taper is coming. The tenyear is down from approaching three. We have the debt ceiling yet to come. Im very concerned about that. Zu have the fed meeting. Suddenly, you have this event. It was a lightning bolt for a lot of people. A lot of hedge funds have to cover what they were shorting. The stocks they were buying, which were overseas, dont look as good. People are literally caught here. The hedge fund trade just annihilated this morning. You mentioned housing, everything at the top, pulte, masco, leonard. Your bristolmyers getting a little love this morning. That was fortuitous. I am just amazed. People are leaning on leonard and masco. Suddenly, i am just swept away. American tower, nice short squeeze on an upgrade. Jc penney, how about a chance there for another cleanup piece. Not a surprise. He telegraphed that, selling the remainder. It was a 24 million shake originally. By the way, why did you use jcp . Why didnt you invest in your own business and focus at home . Mike facelli is no longer there. I loved mike. Nice guy. This was not one of their finer moments. You want to know when you can go back. You can go back to these mortgage banks that are still not that expensive. Regional banks. The ones i dont like to chase. You buy starbucks and disney at 78. Is that what you are going to do . Thats what i am going to do. Why wouldnt you buy disney . Because it was up four last week on a buyback. Now, you come in and you are on quicksand. I dont like to buy on quicksand. Of the five names in the red on the s p, how about apple here . Talk about poetic. Why . Did they buy netflix and sprint and put together that thing i wanted . Did they buy twitter . Apple is like wow. You have got to give me a reason. Big china deal. If i can quickly. We went to amen before we finished the thought on this deal. Not a big deal. Interesting to note, as you were, that they acquire stock prices going up shortly. We are talking pkg. Will you look at that. Almost 10 on this deal, which is not something. We have seen this many times this year. It has yet for a huge wave of deals. I did want to point something out here. A little arcane. With delaware law changed, you dont need to buy 90 through a tender and to squeeze out the remainder. Now, you can do only 50 . This is a tender. Why is this important . Deals may get done more quickly. You dont need a vote. You may see more tenders. They will get done more quickly. They dont have as much doubt when you need a vote. It is not like it is going up as much as gannett. That was fantastic. You have the proctors moving. People are covering, covering, covering. They really were counting on taper and summers. They were counting on Government Shutdown. Now, those things seem as far away as an 02 team getting into the playoffs. It is still early, jim. Arent you no. I think i could hit the hole better than these guys. It is a nice rally. Bob pisani, still not hitting the dow today. That high was 658. We are 100 some points away. Take a look at the s p 500. The old high, 1709. We are six points away essentially sitting right at the doorstep of historic highs for the s p 500. Quite close for the Dow Jones Industrial average. One thing that was rather ironic. A lot of people wouldnt have thought that Larry Summers was part of the reason yields were higher on the tenyear. Whats it worth . We look down ten basis points to 2. 9 to somewhere around 2. 8 or so. Thats small in compared to the concerns over the taper. Better than 100 basis points in the last few months on those concerns. Summers was a part of the reason that yields were a bit higher. If you look at whats moving today, interestsensitive stocks. Home stocks have been moving rather aggressively. They have come off their lows the last several weeks. The xal, the airline index, that set a new multiyear highs awelawels well. China was down fraction alley. Most of the other markets were up a little bit. The emerging market stocks, thailand, indonesia, up 2 , 3 . All of the countries have regained the losses they had. Not the losses they had back in may. They are still down for the year. The big losses in august have basically been erased. Earnings after this week are going to malt ter a lot. 4 is what we are looking for for this quarter. Thats down a little bit. Basically, it is the same story as last quarter. Very low expectations. They have been lowering them. They were about 6 a little while ago. Now, they are 4 . A little better for revenues as well. If that holds up, we will have another record quarter of earnings. Why are they better . On the german elections, did you see what happened with Angela Merkel . The European Party may get 5 next week when elections are held. Thats very bad news for merkel. She is going to have to deal with the whole greece deal again. They dont want an antiEuropean Party screaming at that one. It will be a good one. Back to you. Police in washington are mr. Responding to a shooting outside the Naval Sea Systems Command Headquarters Building. Our amenjavers has more. We have a little bit more information on this situation. It is still an active shooter situation at the Washington Naval yard here in washington, d. C. Four people have been shot. One of those people is a u. S. Based security officer. I am just being told we have seven people shot, two Police Officers and five civilians. Thats seven people shot, two Police Officers and five civil yarns. Thats the latest information we have from here, carl. Also, nbc capital producer, frank thorp, is tweeting from the scene. He says the capital Police Officers he is talking to are monitoring the shooting at the naval yard, which is not all that far away from the Capital Building itself. They say, there is no known threat here to the capital complex. This appears at least for now, from the Capital Polices perspective, to be a situation thats limited to that Washington Naval yard area. Also, thorp tweeting that he spoke to somebody who heard some of the shouting and shooting as this situation occurred at about 8 20 this morning. People evacuated immediately from the buildings. We are told there was a shelter in place order that went out at the Washington Naval yard for about 3,000 employees in that complex. A fastmoving situation is still developing here in washington, d. C. Well come back to you for more details later on, amen. Amazing, tough stories. I remember when i used to be a homicide reporter. Real perspective in the stories. It changes quickly. We want to get to Rick Santelli at the c b group in chicago. Thanks, carl. You know, what a week for Larry Summers to pull out. Consider . We have what looks like the taper fed meeting in a couple of days. We have a market thats dominated by alrhythmic type trading. Many are looking for an excuse to try to lighten up on treasuries. Everything happened pretty quick. Look at the magnitude. Look at a fiveyear chart. Basically, when this hit around 4 00 in the afternoon eastern, 3 00, chicagotime. We dropped about 15 basis points in a five. Look at the ten. About half that distance. Weve seen some dramatic steepening on the shorts. We are below the key. Spot on the left, 160. The key is 274ish on the left side of the tenure chart. Look at the boon and the built. Still, holding up better. Even though this issue is important for them, their market is still trying to weigh whats going on between elections and what looks like some stability. We slipped under 3 in the gilds. If you open up towards march on the dollar index, you barely see how the weakness in the dollar index has once again. We talked about how the Foreign Exchange market seems to be running through sand. We cant get tracktion. Pay close attention when we come back, the fifth anniversary of the financial crisis. A live interview with former merrill chief executive, john thain. We are going to talk to the airlines ceo. S p back 1700. Dow up 139. The vic is a touch higher. More squawk on the street in just a moment. Thank you orville and wilbur. Amelia. Neil and buzz for teaching us that you cant create the future. By clinging to the past. And with that youre history. Instead of looking behind. Delta is looking beyond. 80 thousand of us investing billions. In everything from the best experiences below. To the finest comforts above. Were not simply saluting history. Were making it. You really love, what would you do . [ woman ] id be a writer. [ man ] id be a baker. [ woman ] i wanna be a pie maker. [ man ] i wanna be a pilot. [ woman ] id be an architect. What if i told you someone could pay you and what if that person were you . When you think about it, isnt that what retirement should be, paying ourselves to do what we love . Paying ourselves maestro of project management. Baron of the buildout. You need a permit. To be this awesome. And you. Rent from national. Because only national lets you choose any car in the aisle. And go. You can even take a fullsize or above, and still pay the midsize price. aaron purrrfect. vo meeeow, business pro. Meeeow. Go national. Go like a pro. An active shooter situation happening at the Washington Navy yard. There are seven shooting victims. We want to bring in nbc terrorism analyst, roger cressy that joins us on the phone. My pleasure. Some of the reports seem to say this is still an active gunman situation. I think that is right. They are making the assumption it is still an active shooter. The most Important Development is that they have established a perimeter. Law enforcement has. Washington police has the lead on this right now. The thing is with the Washington Navy yard. You have military personnel, civilian government and a civilian contract is there. So its a mix of both uniform and nonuniform. The number one priority right now is to neutralize the shooter and take him into custody and to provide medical attention to the victims already identified. How heavily fortified is a location like this, roger . This is a very heavily fortified location. You have to have badging privileges, somebody who is authorized to come in. Depending on where this shooter came in and how he moved about. One question will be, is this somebody who already had access . Any type of military installation in this area, it is a mix of civilian and uniform. It is heavily secure. Obviously, we are getting reports from other jim miklaszewski. Security forces have entered the building in search of the gunman. Roger, how does this, in your view, move the ongoing debate regarding gun control in this country . Is there something unique about this situation . It clearly is not a school. Is the fact that it is a different kind of target, is that politically in your view significant . Well, i think the big issue will be if this individual can be captured alive. Then, we can understand what intent was, what drove him or her. We dont know yet. To this type of crime. Im sure well have plenty of time to look at the bigger picture, once that individual is in custody. That is something we are still waiting on as we continue to look at pictures of the response here. As amen javries pointed out, scores of ambulances. In terms of response, from federal police, local police, United States security. You have to imagine that the response is going to be more than ample, given what we know about the situation right now. Well, whenever this happens, it is also a tragedy. There are tremendous resources in the national capital. There are over 30 different Law Enforcement entities in d. C. Having the Proper Police there is not going to be the issue. It is about this individual, insuring he or she cannot conduct any additional shooting and, hopefully, being able to capture them alive. There is going to be a concern with the type of weapons that are being used and the amo that the gunman has and what their ultimate intent was. Were they looking to come in and randomly attack or do they have a specific objective and target in mind . Obviously, thats going to have to come out down the road. Finally, roger, this message just crossing now from u. S. Capital police. We are continuing to monitor an active shooter incident at the Washington Navy yard. At this time, the incident is confined to the navy yard. No known threat to capitol hill. They do point out, please, avoid this area until further notice. That was sent at about 9 45, about five minutes ago, roger. Does it look to you like we should be worried about the threat expanding geographically or not. Not based on the information received so far. But Capital Police, other Law Enforcement are certainly going to step up things a little bit during this period when the gunman is still atlarge. They always look at contingencies. Are there other potential shooters out there . Is it a broader coordinated potential assault . Those are the worst Case Scenarios the Law Enforcement is looking for. It looked like a single shooter and they are dealing with it appropriately. Roger cressey, nbc terrorism analyst. We will come back to you later this morning. Hopefully, we wont have to. That news notwithstanding. The entruce yachusiasm in the m hasnt been dampened too much. Golden sax opened not that high and is starting to go higher. Some of the financials opened that high. Dont necessarily buy these companies that have been doing well betting on a recession or a slowdown. You are seeing the stocks that had been thrown away come back. The stocks that had gone up during this period of high rates come back down. There are going to be a couple days where people can keep buying tech or masco. Thats really the code word for stocks that have gotten killed because rates were going up. Tech has done pretty well this whole time. At 1700, is there not something in your head that lets you, lets ring the register. The dow doesnt matter. Professionals like to many could out and say, im going to take profits. People like usa today will have a headline and say, is this the big breakout move . It is pretty good. It is what you want. You want lower rates. You want mortgages to come back. You dont want to shut down. In the shutdown, you get hurt. The dow is still up 152. Squawk on the street. Back in a minute. S p above 1700. On friday, i did my game plan wechlt are going to learn if summers gets nominated. Bingo. Everyone is looking the wrong way. You are seeing cover, cover, cover. Wait until the covering is done, between 10 15 and 10 30. How are you going to cover it on mad tonight . We are going to address how the president and summers did us a big favor. Another one of these yelp kind of sites that are john fire. Way to be able to use the internet. This is an amazing site. If anybody has been on it. It is a remarkable company. Check it out. I put my mexican houses on here to rent them. It went well. Yeah, thank you. Well see you tonight, jim. 6 00 and 11 00. We have a lot more on two very big stories. The rally on wall street and the shooting situation in washington. Dont go away. [ engine revs, tires squeal ] [ male announcer ] since we began, mercedesbenz has pioneered many breakthroughs. Breakthroughs in design. Breakthroughs in safety. In engineering. And technology. And now our latest creation breaks one more barrier. Introducing the cla. Starting at 29,900. Therell be the usual presentations on research. And development. Some new members of the team will be introduced. The chairman emeritus will distribute his usual wisdom. And you . Well, youre the chief life officer. You just need the right professional to help you take charge. To help you take charge. Nascar is ab. Out excitement but tracking all the action and hearing everything from our marketing partners, the media and millions of fans on social media can be a challenge. Thats why we partnered with hp to build the new nascar fan and media engagement center. Hps Technology Helps us turn millions of tweets, posts and stories into realtime Business Insights that help nascar win with our fans. Good morning. We are watching some big gains, the dow up, the s p up to 1,701. Larry summers has withdrawn his name from consideration regarding a fed chairmanship. A deal with russia on syria. Jim cramer said it is a lot of cover, cover, cover, as those taken by surprise over the weekend try to reestablish their positions. Well keep an eye on that. With us on set, one of the key players during the financial crisis, john thain, former Merrill Lynch ceo. Now, the chairman and ceo of cit group. Great to have you here. It is great to be here. Is this how you thought the world would look five years ago this week . On this day five years ago, the world looked pretty scary. We have done reasonably well recovering over this fiveyear period. In terms of deleveraging, economic growth, policy progression . First of all, we are delevered a lot. The financial institutions, Housing Market and consumer are deleveled. The economy is growing. It is growing slowly. It is not creating a lot of jobs but it is, in fact, growing. You made some comments we are still left with the situation where the banks are big and there is no clear path, if, in fact, one of them were to go down. I think thats true. We have not solved too big to fail. The biggest banks are bigger than five years ago. We still have the issue of how do we deal with too big to fail banks. We are looking at share prices here that are back, of course, to almost alltime highs. The role of the New York Stock Exchange has changed so much and is so much more diminished today than five or ten years ago. What should be done differently or what should be done now to keep this place as relevant to the stock market as it once was . The biggest problem with the stock market today in the u. S. Is it has been tremendously fragmented. You can trade stocks 50 different places. Most of those places are not very transparent. Thats a problem. It is not good for consumers or individual investors. You cant see where a lot of the stocks trade. There just isnt the volume here there used to be. We should remember, five years ago, the british tried to buy lehman to prevent it from going down. Dimon was the ceo then. He writes in todays Financial Times that we need to sort of too big to fail internationally or you will have the continuing ratcheting up of red tape to control them. Isnt that what most people want, permanent control of the banks red tape so they dont fail again. When push comes to shove, no nation is going to let a bank go down for fear of the unknowns. I think thats true. I agree with that. The higher degree of capital that the banks are required to own now is helpful but it certainly is true that the biggest financial institutions, both in the United States and globally are still too big to fail. And they will probably forever be too big it fail. It is very difficult to solve that problem. How do you feel personally as you reflect back on the last five years . You were king of the world. You were chairman and ceo of Merrill Lynch earning 83 million before it fell into the arms of bank of america or paid out 4 billion in bonuses. How do you feel five years after . First of all, i obviously didnt actually earn 83 million. Because the Stock Options werent that in the end. Of course, thats was a fiveyear pay package, not a oneyear pay package. It was very unfortunate what happened with Merrill Lynch. I didnt want to be the twhaun had to sell it to bank of america. If you think about post the lehman bankruptcy, what is likely to happen, it was the right thing to do. It protected the merrill shareholders and employees. This afternoon, or this morning, president obama will make a speech in the rose garden to mark the fifth anniversary and he will talk about the great disconnect. How the economy has improved since then. For so many americans, it hasnt. There is still an anger about what happened on wall street. How do you react to that anger . What do you say in response to that . There is absolutely a right to be anger with what happened. The financial collapse caused tremendous damage among the whole economy. Many people lost their jobs. Their homes became under water versus their mortgages. They are right to be angry. If you look at where we are now and you ask, well, the economy is growing, although, slowly. Why is it not creating job . It is not creating jobs, because middle Market Companies where two thirds of all jorks a jocks a jobs are created are worried about that. It is not just wall street. It was much broader than that. It was certainly the regulatory environment. It was the government, the rating agencies. When ever you have these kind of bubbles, these bubbles, when they burst, cause widespread damage. They are not caused by any one person. Before we let you go, cit, you do have a window into at least the financing needs of many midsize corporations. What are you saying . You describe the economy as okay. Are you seeing a pickup at all as we head into the Fourth Quarter. We are seeing the economy get better. It is still growing and it is growing slowly. When we look at our middle market lending, weve been lending about 1 billion a quarter into the middle market space. If you talk to companies, they actually are generally optimistic about their business but they are not willing to add expenses, which means they are not willing to add people, which is why unemployment stays high. Consolidation is not something we have seen in the Financial Services undindustry. This rumor comes about regularly. We are a publicly traded company. If somebody wants to buy us, they have the ability. I dont have an unlisted phone number. We are doing great on our own. In the meantime, we do have an active shooter situation. It has been reported inside the Naval Sea Systems Command Headquarters Building. Our john harwood is in washington with more. Carl, we are short on information for certain. We do know it is an active shooter situation. At least ten people have been shot including one district of colora Columbia Police officer. Medivac is evacuating people. We dont know where all the victims are evacuated to. One is at George Washington hospital. Much of the Washington Area has been shut down. As Law Enforcement authorities try to deal with this. The white house has been briefed. We dont know the progress of this situation inside the navy yard. Obviously, there is no news media inside there at this point. We are going to have to wait formofor more information, carl. Some conflicting reports. Some said flights were halted, some said some delays. Any clarity on how it has affected transportation. I would not imagine that that has been lifted yet. Because youve got so much of Law Enforcement that is focused on this one area. When they dont know exactly whats happening, they do a lot of things on a precautionary basis. I dont believe that to my knowledge, amtrak trains have not been halted. One metro stop near the navy yard has been shut down. I think we are going to have to wait and see as this develops over the rest of the morning. We did get there were some tweets from metrorail saying that one of their entrances had been reopened in the early part of the 9 00 a. M. Hour. Clearly, that perimeter is still a very sensitive area. Thank you very much, john harwood, in washington. The dow is up 131 points, nearing its alltime high. The s p and nasdaq getting closer. Up next, they will weigh in on the markets. Larry summers will not now be at the helm fof the federal reserve. Other questions. This is tapering week. Well be back in two minutes. [ music transitions to rock ] make it happen with the allnew fidelity active trader pro. Its one more innovative reason serious investors are choosing fidelity. Get 200 free trades when you open an account. Welcome back. Markets are in rally mode following Larry Summers stepping out as fed chair. You, from the getgo were skeptical with Larry Summers. He was president obamas top pick. Obama really wanted him to lead. From the get ggo, there wa backlash. He is brilliant but a lightning rod. Thats a bit of a problem. When the backlash came out so quickly and suddenly, i thought it was kind of a stalking horse. Lets do this. When everybody sees this, they will all love yellen and that will be fine. When they persisted and persisted, i began to think that might be an opportunity to change the whole fed idioligically. You could pick likeminded people and seal in votes for maybe a decade. That could be pretty interesting. It would be one thing if it was a republican president. President obama might pick someone with a more relaxed attitude. Larry summers being more of a hawk. It didnt quite seem to fit. It seemed like it was more about their personal relationship. It is if you look at the q. E. Aspect where he appeared to be more hawkish. If you want a group of people in there that can direct money to certain segments of the economy, you can involve a political power and a structure that might serve people very well. Here is the interesting thing. A lot of people were saying, maybe Larry Summers would come out with some of these programs aimed directly at providing credit to small and mediumsize enterprises. He is not actually so much of a hawk as people are making it out to be. Is that what you mean . Yes. If he had four or five other votes with him, they could proceed in that manner. Look at what we have done so far. They are buying mortgagebacked paper. Obviously, this is a special concentration. The real estate area was in deep difficulty. You are pouring money into a particular segment of the economy. If you had control at all times. You could work out with the president or whomever. Lets help this sector now and see where we go. Is this rally all about summers or is this Something Else at work . It is predom nainantly about summers. It is not unlike what happened with microsoft when obama said he would stand down. It is spread out. Microsoft jumped 7 . We are not quite up anything like that. What happened was, you moved back over the next five sessions or so. Whats going to be interesting to me is, is it making yellen stronger . I think the president may take some umbrage at the fact that the senators and economists and others didnt send him a petition that said, no Larry Summers. They sent him a petition that says, we want janet yellen. The president may sit there and say, wait a minute. Thats my job to pick who it is. You are dead right on that. I have heard similar things in this whole process, at least, knowing a number of people involved, that have echoed those sentiments that there was already that feeling, that, you know what, im the one. There is a problem. We have two very big deadlines that could upset the markets. One is the federal spending and the other is the debt ceiling. You have Speaker Boehner and obama unable to control their own parties. Obama couldnt get a syria vote. That doesnt bode well for those two fights if they cant martial their forces. I think you are right. What you are going to wind up with is some kind of delay. They will find a way to pace something on and pass it on down toward the yearend or wherever. So we can trade higher through that. We be tiptoe through that. Thats in gone with the wind. She used to say, ill worry about that tomorrow. Thats where weve all come. Art cashin, thank you so much for all your thoughts this morning. When we come back, we are following details coming out of washington with the shooting in the d. C. Naval yard. One terrorism expert will give us his take. We will get the details in a moment. [ tires screech ] [ male announcer ] 1. 21 gigawatts. Today, thats easy. Ge is revolutionizing power. Supercharging turbines with advanced hardware and innovative software. Using data predictively to help power entire cities. So the turbines of today. Will power us all. Into the future. [ male announcer ] staying warm and dry has never been our priority. Our priority is, was and always will be serving you, the american people. So we improved Priority Mail flat rate to give you a more reliable way to ship. Now with tracking up to eleven scans, specified delivery dates, and free insurance up to 50 all for the same low rate. [ woman ] we are the United States postal service. [ man ] we are the United States postal service. [ male announcer ] and our priority is you. Go to usps. Com® and try it today. Initial reports say seven people have been wounded at a shooting at the Washington Navy yard. Tom costello is live on the scene. What do we know . Reporter this is a very fluid situation. I am very close to the nationals baseball stadium. Four to five blocks down is where the navy yard is. There is a very big perimeter. There have been reports of as many as 12 people shot. We have a report there may be two Police Officers shot as well. To give you a sense of how thats affected the area, the Capital Police is watching capitol hill. They are on a very heightened state of alert. At Reagan National airport, departures are on hold because of an air Traffic Management system in place with this Police Operation going on. Washington Center Reports they are receiving victims from this shooting. There are reports of fatalities. Reports of two Police Officers who have been shot. We dont know their conditions. We have Police Officers and response from multiple jurisdictions, from d. C. Police, transit police, military police. Prince georges county is assisting as well. This has been going on since 8 20 this morning with a report of an active shooter at the navy yard. 3,000 people work at the navy yard. To get in there, you need a military clearance. You can either be a civil or military employee. You need a clearance to get in there. There are reports that the suspect had at least an automatic weapon. It is not at all clear how he would have gotten in. Is he a employee . Did he have a pass . It is not yet clear what the status is of that particular shooter. Do we have him in custody . Has he been wounded . We are still in an active shooting in southeast washington, d. C. In what appears to be some sort of a case of dramatic violence. Here, carl, back to you. The u. S. Capital police say they continue to maintain what they are calling an enhanced Security Posture on capital grounds. There is no known threat to the capital complex. Is it your sense this is contained to the navy yard itself. It appears it is contained to the navy yard at this point. Right next door to the navy yard is the department of transportation headquarters. Thats on lockdown. Again, to give you a sense, i can see the nationals baseball stadium a block from me over my shoulder here. Thats how close we are. Washington reagan airport is right behind the camera. Im pointing at the airport. Thats probably about three miles, as the crow flies and the u. S. Capital is probably about two miles as the crow flies that way. This is a very condensed or a dense part of washington, d. C. Tremendous Law Enforcement assets are in this area and responded very quickly. Many to, thank you for that. Nbcs tom costello joining us from washington. John harwood has more details on the latest numbers in this situation. John . Carl, our colleague, jim miklaszewski, who covers the n pentagon has told him there are four fatalities. The shooter is down. One indication the shooter is down is the fact that the faa tells us they have now lifted the ground stop at Reagan National airport. That doesnt mean this entire situation is over. There is always the possibility there is a second shooter. What we know right now is that according to a senior official who has told our colleague, jim miklaszewski, four colleagues, eight wounded and the shooter has been taken down. Thank you, john. For more on the shooting, lets bring in bob leskowski. Bob, your reflection is passed on the intelligence we have so far. Good morning. This looks like the initial response was very geared. The protocol typically is when they have an active shooter. We have a significant buzz. It is a multisquad. They have a lot of territory that has to be covered. This is like the shooting back in texas a few years ago. These protocols require that kind of response with active shooters. It is very difficult to tell whats going on. Typically, even though you have that kind of response, frequently, the first thought is, you have an Employee Work place violence situation. This is not locked down but they look at visitors with a higher degree of scrutiny. There are 3,000 people that work there. They are not checking all the normal employees but they will check visitors coming into the compound. So it is a secure compound. You look at the ability to bring in a weapon as a visitor. Your normal visitor protocol, not as like a a scenario. You look to an employee that has legitimate access as someone they might be dealing with. It brings about a lot of reflexes about the ft. Hood shooting. The question is, whether or not it is possible to protect these military facilities from someone who has access and wants to do harm. Great point. The inside is the most typical. People that have legitimate reason and access to be there that have clearances, somebody acting like a major hassan that becomes radicalized, thats one scenario you worry about, the inside threat is the most difficult to protect against. In the meantime, just to accentuate the drama, our affiliate in washington says we were looking at a picture of i helicopter a few moments ago. Nbc 4 saying some employees went to the roof in the hopes a helicopter would be coming when it was unclear how the situation was going to end. What will be most important for you to learn over the next few hours. Any witnesses that had direct contact with the shooter. They want to make sure they dont have more than one shooter. Law enforcement will talk to the witnesses and the victims involved as quickly as they can to ascertain if they are dealing with a multipleshooter scenario. Witness accounts are sometimes very difficult. Weapons were used. Is there any way to discern what the intent was . If this was an employee, work place violence type of scenario. They would have some sort of problem with. Thats where they are going to. They want to see where the start of the shooting was, give you some indication if you are talking about a work place violence issue. It is a lot of confusing, conflicting information frequently have to be normalized or analyzed and understand exactly whats going on. You have a lot of information coming into a lot of multiple jurisdiction, Law Enforcement that are responding here and getting your hands around that. It is the most critical thing to be doing. Thank you for that, Bob Liscouski joining us talking about the situation in washington. We will keep you updated on the situation on the ground. Squawk on the street will be back after a short break. For over 60,000 california foster children, extra curricular activities help provide a sense of identity and a path to success. Joining the soccer team. Getting help with math. Going to prom. I want to learn to swim. Its hard to feel normal, when you cant do the normal things. To help, sleep train is collecting donations for the extra activities that, for most kids, are a normal part of growing up. Not everyone can be a foster parent. But anyone can help a foster child. Global stocks are in rally mode as president obamas favorite candidate, Larry Summers, has dropped out of consideration. Because of the news about Larry Summers over the weekend, were releasing a day early part of the September Cnbc fed survey. It showed in no uncertain terms, the market wants yellen over summers and just about anyone. About a 21 response. They expect president obama to report summers as the next fed chairman. By a chopping 51, they wanted yellen. Money managers and wall street strategists that responded on thursday and friday thought summers would be more hawkish than yellen. We asked respondents to grade summers, yellen, ber nananke an do don cone. Summers finished last. Greater in political communication and Monetary Policy expertise by a wide margin, respect from other financial officials and ability to manage financial crises, which was interesting. That was one of the big characters of summers that obama liked along with banking regulatory expertise. He graded higher in concern about inflation and Financial Market expertise. One other way to slice this data is do yellen versus kohn. Kohn was not a topic but compared to yellen, she had a higher overall score and beat him on political commune skills. He had his supporters out there. He spent a lot of years as the vice chair to allen greenspan. He run with respect to Financial Markets, inflation concern and regulatory expertise. From the markets point of view, ko ha kohn versus yellen, a much closer call. Maybe best to say the market is yelling on yellen today. Steve liesman with an advanced look to the full survey tomorrow obviously. In the meantime, as u. S. Stocks continue to rally, we have managed to put a floor on gold. It had a really lousy week last week and has lost a quarter of its value so far this year. Is summers not going to the fed good for gold. Lets bring in brian bellsky. A multiasset Strategy Research with Merrill Lynch, global research. Good morning. Welcome. Thank you. Let me kick off with you, francisco. Where do you think gold is going to go from here . Does this appointment at the fed make any difference . I think the fact that summers is out of the race is mildly positive for gold in the very short run. Gold is facing three key trends. Stronger u. S. Dollar, higher Interest Rates and what i think is going to be Lower Oil Prices or lower commodity prices. Those are three very big head winds to face. I dont see gold rebounding much here. Where do you think it will trade to . We have a 1200 target toward the end of the year. We think you will end up somewhere around there. This is a very big head wind to battle right now. Brian, would you agree . This is our view as well from our gold strategist. We are going to see a 1225 price target. A little bit lower the first half of next year than that. Around 100 at yearend next year. Lets put this in perspective. The u. S. Dollar hit a secular low in july of 2011. The dollar, economy, stock market and Interest Rates are working to the for the first time in several years. It is a beautiful story. Under those head winds, gold, we think, has seen its secular peek. I want to talk about Interest Rates briefly. Whats happening with regard to real rates. What does it mean for gold and stocks . From a secular perspective, cyclicals do really well. Materials, which clearly gold is a part, actually do not, specially considering where valuations are in many of those gold stocks and given the fact that earnings are going to be quite volatile, specially considering some of the head winds that francisco talks about and the secular friends in place for gold. Doesnt it bring you back to oil and gasoline if you could . You are bearish on both of those as well. We think you are going to see outside pressure toward the end of the year. There are basically a couple of themes that have come into the market in the last week or so. One, obviously, is the fact that diplomacy seems to be the preferred way to deal with the syrian crisis. Thats bearish for oil. Burks also, in the last few hours, weve learned that libyan production may be on its way back. Remember, the up side pressure on oil builds not only on syria. The fact that we had a large libyan production. Up to 1 million a day depending on the source. With that oil coming back and diplomacy winning over. We see pressure on the oil price as well into the Fourth Quarter. Before we let you go, it is obviously the week. The bull market seems quite relaxed with the taper. It is probably priced in if we look at the auctions we had on the 10 and the 30year last week. What will stocks do when they announce the taper, if they announce the taper on wednesday. There is actually upside potential here. Partly because they may have to lower it. Partly, because it could be taper like and they dont have to make way for a more aggressive summers appointment at some point. Where do you see the risk, up side or down side . The risk is we remain in this reactionary side of the bull. There is three phases, reactionary, acceptance and euphoria. We are kind of in the reactionary type. Look at today, summers pulls his appointment. The market goes up. I think the fear is, what if youre wrong. What you just stated is what consensus is, all clients are expecting exactly what you said. What if the tapering is a little mori more aggressive than most people are positioned for. We have an entire generation that is buying stocks because of quantitative easing. The trend is your friend and the economy is improving. If they are, at first glance, a little bit more aggressive, stocks could sell off and people are not positioned for that. We have to go but the magnitude of correction . We are prime ford a 5 , 10 correction. Markets are a bit ahead. We need to take a breather here. We have to go. Brian belsky, francisco branch, thank you for joining us we will talk to a terrorism expert right when we come back. Stay with us. My customers can shop around. But it doesnt usually work that way with health care. With unitedhealthcare, i get information on quality rated doctors, Treatment Options and cost estimates, so we can make Better Health decisions. Thats health in numbers. Unitedhealthcare. All your important legal matters in just minutes. Protect your family. And launch your dreams. At legalzoom. Com we put the law on your side. And launch your dreams. Always go the extra mile. To treat my low testosterone, i did my research. My doctor and i went with axiron, the only underarm low t treatment. Axiron can restore t levels to normal in about 2 weeks in most men. Axiron is not for use in women or anyone younger than 18 or men with prostate or breast cancer. Women, especially those who are or who may become pregnant and children should avoid contact where axiron is applied as unexpected signs of puberty in children or changes in body hair or increased acne in women may occur. Report these symptoms to your doctor. Tell your doctor about all medical conditions and medications. Serious side effects could include increased risk of prostate cancer; worsening prostate symptoms; decreased sperm count; ankle, feet or body swelling; enlarged or painful breasts; problems breathing while sleeping; and blood clots in the legs. Common side effects include skin redness or irritation where applied, increased red blood cell count, headache, diarrhea, vomiting, and increase in psa. Ask your doctor about the only underarm low t treatment, axiron. With fidelitys options platform, weve completely integrated every step of the process, making it easier to try filters and strategies. To get a list of equity options. Evaluate them with our p l calculator. And execute faster with our more intuitive trade ticket. Im greg stevens, and i helped create fidelitys options platform. Its one more innovative reason serious investors are choosing fidelity. Now get 200 free trades when you open an account. Welcome back. Nbc news is reporting as many as 10 people have been shot at the Washington Navy yard. John harwood joins us with the latest. John . We have one new angle thats developing, that is, that there may be multiple shooters in this situation. Our affiliate station, wrc, is reporting two shooters. The Washington Post is reporting three. Now, we mentioned earlier that planes have resumed flying in National Airport, which was an indication that the authorities were feeling confident that the situation was over but we dont know yet in light of this information about more than one shooter as to whether or not all shooters have been accounted for, have been taken down, cornered, whatever, or whether there is someone still atlarge. We heard from the d. C. Mayor earlier that federal officials, including the fbi, have now taken charge of this situation but information continues to develop. We are going to have to stay on top of it, kelly and carl. Lets bring in michael lighter, nbc news terrorism expert. He joins us on the news line this morning. Michael, obviously, john made the point, this is far from being confirmed in any way. We are going off of some reports off of our affiliate in washington and the Washington Post. How would a multiple shooter situation change the story . Good to be with you in unfortune circumstances. In almost all of these situations, first reports are almost always wrong. Because we have so many Different Police organizations involved, thats going to add to some of the initial confusion. In terms of dealing with multiple shooters, the police are going to assume to start that there is lots going on. They will even assume not just that this is occurring at the navy yard, they are going to tighten up security at adjacent yards that are not far by. The capital is about 10, 12 blocks away. People shouldnt assume that means there is something broader but it is just good police shooting. Thats what people have learned. You have to make sure you are ready for things you dont yet see. Your point about boston is a good one. The cross Communication Channels that happen when multiple Law Enforcement agencies responding to any kind of an emergency, michael, creates disinformation. You have a lot of people chasing information. What would you advice people to do as they try to figure out whats happening over the next few hours, lets say. You are absolutely right about the cross communication. Something weve gotten better at since 9 11 but still imperfect. What i would recommend for people is if they use social media, twitter is great as long as it is coming from official channels like the d. C. Government and the metropolitan Police Department. Stay away from the area. There is no reason to be going into this neighborhood. Mostly, they should do what the government is asking them to do. If they see something suspicious, this he should Say Something. We will end up with a series of false alarms elsewhere in the city when you have something tragic like this occur. People see a package. They call the police. It turns out to be nothing. People are obviously on edge. Thats not all bad. That generates information that the police can follow up with quickly. We talked this morning about what the Naval Sea Systems Command headquarters is. Assuming it is something beyond your work place violence dynamic, michael, where there is a personality dispute between a couple of people. What kind of intelligence would be housed there . Why would it be a symbolic target if somebody wanted to make a larger statement . It is hard to say right now but being familiar with the navy yard, they have a lot of a sense of information about everything that the navy does with Information Systems and the like. It is really not a prime target or one we would consider a prime target, other than it is the Washington Navy yard, and there is symbolism in that. My take would be that if this proves to be something xli ka complicated with more than one shooter, it is people that understand the system and the sensitively in this location, it is not nearly as iconic as other locations. Washington navy yard is secured by large fences. Everyone going in has to have i. D. This is not an area thats easily accessible to people that dont know washington well. Mr. Leiter, well leave it there for the moment. Our own a menmen. Let me bring you up to speed. We are on m street southeast. The scene of the shooting is about four to five blocks behind me down m street. We are standing about a block from nationals park. What you see here is a very Intense Police, fire, and ambulance presence. We have also got multiple helicopters overhead of our position right here right now. They seem to be circling the area, possibly patrolling. What we are told right now from nbcs Pete Williams, that there are about 10 people that have been shot, maybe as many as four that have been killed. We have multiple reports that there were multiple shooters involved in this incident. I want to caution you it is very early on. A lot of this early reporting can be a little bit all over the map. We really dont know what it is we are looking at. I can tell you, there is a very Robust Police presence right here. Washingtons National Airport off to this direction on the other side of the river has been reopened as well as the metro station. Things are starting to come a little bit back to normal right now. What we dont know is if there are any other shooters or if they are atlarge or if the situation is contained to the Washington Navy yard, four to five blocks where we are standing now. Stay with us if you would. We are going to take a quick break. Much more on a very fluid situation in washington next. You really love, what would you do . [ woman ] id be a writer. [ man ] id be a baker. [ woman ] i wanna be a pie maker. [ man ] i wanna be a pilot. [ woman ] id be an architect. What if i told you someone could pay you and what if that person were you . When you think about it, isnt that what retirement should be, paying ourselves to do what we love . Paying ourselves to do what we love . Dont tell mom. Dont tell mom. Dont tell mom dont tell mom. Okay. Dont tell mom. Dont tell mom. Dont tell mom . Yeah. The best stories youll ever tell start with, dont tell. Dont tell dad. Start yours in the new santa fe. From hyundai. Theres concern in d. C. As weve been telling you, reports of more than one gunman involved in a situation there at the navy yard. Nbc news saying now, as many as ten people may have been shot. Lets get back to our own reporter there, eamon javers on the scene in washington. What can you tell us about the wounded . I understand one is a Police Office officer . Reporter yeah, were told that one of the people who was shot, one of the initial reports here, one of the people shot was a base security officer. We saw some photos tweeted out of a person in tan slacks lying on his back on the ground and being attended to by some people in the nearby area. We dont flow if that was the same person or not. Again what were being told now is weve got a situation with ten people who have been shot, possibly as many as four fatalities here. What i can see from our position here, a lot of d. C. Police and metropolitan Police Presence here. Obviously a big federal component to this as well being u. S. Navy facility. Also told the president of the United States whose office is not far from where were standing right here has been briefed on this situation several times. State, federal, local all of those Police Forces and Intelligence Forces focused very intensely on the situation. You can hear above me now helicopters circling this area. This entire area, perhaps five or six blocks north, south, three or four north, west, shut off, preventing traffic from coming in or out. A very Intense Police response seeing right here, right now but not a lot of facts available. What weve got is an active and fluid scene here. Of course the president himself was due to make a speech in the rose garden in about 50 minutes time on this the fifth anniversary of lehmans collapse. Do you expect that will take place given the situation . Given the lockdown that appears to be going on . Reporter yeah, i dont have any firsthand information on that. I can tell you earlier we got an alert that said the rose garden speech was being moved inside, that might be because of the rain in the Washington Area which is coming down heavily. But this is speculation on my part, you can presume the president would not want to be on camera addressing the nation at a time when we had an ongoing active shooter situation in the capital. They might hold off on that statement until they have more confirmation of exactly whats going on and whats happened here in washington, d. C. I would not expect necessarily to hear from the president at the scheduled time. Again a fluid situation here. Thank you for that. The president s remarks were previously scheduled to take place in the rose garden. They have been moved inside to the south Court Auditorium in the executive Office Building. Our producers in washington say it is due to the rain and not the situation at the navy yard. Well see if it does, in fact, happen at 11 40 as scheduled today. In case youre joining us at the navy yard in washington, ten people shot, at least four dead. Theres a ground stop at washington reagan which has been lifted. U. S. Capital police are maintaining what theyre calling enhanced Security Posture on capital ground but was point out theres no threat in their view to the capitol. At least seven d. C. School lockdowns, and we are expecting a press conference at Washington Hospital center in a half hours time. More details about the situation in washington after a short break. Vo two years of grad school. 20 years with the company. Thousands of presentations. And one hard earned partnership. It took a lot of work to get this far. So now im supposed to take a back seat when it comes to my investments . Theres zero chance of that happening. Avo when you work with a schwab financial consultant, youll get the guidance you need with the control you want. Talk to us today. Back to eamon javers live on the scene in washington. Our affiliate reporting more shots just fired. What do you know . Reporter thats right. Wrc, local nbc affiliate in washington, reporting more shots have just been fired at the skeent here at the Washington Navy yard. We are about five blocks from where that is happening right now. I can tell you, from our position, what we have seen in the past i would say 30 seconds or so, is a series of tight loops by the helicopter overhead coming in very low. Im not a navy expert but these helicopters were flying a minute ago 50 feet over the roof line of some buildings. Thats a very low helicopter surveillance flight. Youre not used to seeing that here in washington, d. C. Helicopters typically well above the roof line here of these buildings. These helicopters that were seeing now are patrolling very low indeed over the skies. So it looks like they are getting a Better Vantage Point to see what it is that may be going on in the streets here near the Washington Navy yard. Wrc, local washington nbc affiliate reporting more shots fired at the scene now. Well bring you more details as soon as we have those. You started covering this story more than an hour ago and made your way to the perimeter. As far as you can tell, has the activity heightened in response since you first started reporting . You used the phrase scores of ambulances which is what were seeing right now. Reporter yeah, let me step out of the shot here. You can see exactly what we can see here. Were are four, five blocks and see scores of police, ambulances, local city buses holding in place right now. It does seem like a fairly Intense Police response. What we found when we came here initially this morning, carl, is that they were beginning to expand the perimeter. Reporters initially were able to get fairly close. Now moving blockbly block and pushing reporters back. Were five blocks away. Weve been pushed back quite a distance here. Beginning to establish a formal and rigid perimeter here around the situation. We are expecting some press conference here to begin in the next, say, half hour, eamon. The Washington Hospital center, i think the metropolitan police, are expecting to hold a News Conference 11 30 a. M. Eastern time. If thats true, we will learn a little bit more about what increasingly appears to be, as they said earlier, open situation where even though we are left guessing, theyre in a situation where theyre trying to pin down either a gunman or make sure there isnt a second gunman, that is how youre reading it . Reporter yeah, thats right. The reports that were getting here were looking at a situation possibly involving multiple shooters here at the Washington Navy yard. And that situation is ongoing. We dont have any information about whether those shooters are holed up in a building somewhere and tightly contained area or whether theyre on the loose and running about the streets here in this area. But i can it tell you the focus of Police Activity seems to be intently focused on one area around the navy yard though we do have helicopters, another one circling overhead of me now that are doing these perimeter loops overhead. They seem like theyve got a pretty intense core area and a wider perimeter with the helicopters and local Police Presence as well going by. As of now, were waiting on that information from the hospital to find out more about the ten people that we are told apparently have been shot, as many as four fatales. Dont go too far. Eamon javers from the perimeter in washington. Lets bring in terrorism analyst who joins us on the phone. We had you on earlier at the time. We didnt feel comfortable mentioning some of these reports of potentially multiple shooters but its the dynamic getting harder to ignore. Conflicting reports but in fact if it does turn out there are multiple shooters it changes it into a broader conspiracy. And then obviously the question goes beyond just is it a Workplace Violence situation, one when you have multiple people involved. Were there other objectives here . Political in nature, things like that. That is certainly far more significant. And obviously now when we have confirmed reports of fatalities, its an active crime scene, its a Murder Investigation component and all of the analysis thats going to have to follow. Things are extremely fluid. We just need to wait until Law Enforcement confirms that. The shooter or shooters has been neutralized. Were dealing with hypotheticals, which is always dangerous, as the media has learned time and time again, but in this case, if you were to go from a lone gunman scenario to a more than lone gunman scenario, how does that increase the complexity of the operation . How much more difficult would this be to stage . In these scenarios, from a counterterrorism perspective you always want to have people captured alive because the interrogation, getting to understand what the motivation was, what was driving them is absolutely critical. Even if theyre not captured alive, they will be able to quickly identify their identities, theyll be able to go into their residence and begin forensic analysis of everything, politic tronic, computers, phones and create a network of individuals who may or may not have been involved with the shooter or shooters. You can build a broader picture as a result of that type of investigation. Tragically, Law Enforcement has had way too experience with this lately. Theyll move quickly, once the shooter or shooters have been neutralized. Roger, we mentioned ft. Hood a short time ago. Do you believe that in general the military installations in this country are more vulnerable than they should be . No, i dont. Think think the military does an extremely good job. You have layers of security and theyve proven to be successful in the past. If this was an inside operation, i mean, nadal hasan and ft. Hood he was an insider, active duty army major, able to get on base, bring in a gun, and not create any pattern of concern. If this proves to be a similar these individuals who are bad, who were known when they walked in, that obviously makes it easier, gives advantage to the gunmen. If in fact they were not if you have multiple shooters coming in the dynamic nature of that type of situation, i mean youre going to have Law Enforcement respond quickly, but the advantage is always to the attacker in the initial part of these situations, unfortunately. What kind of security is there on the premises at places like the Washington Navy yard . Well, the navy yard because its a mix, a mixed use facility, active duty, youve got d. O. D. Civilians and a lot of contractors, people from the contracting world who work on site. I mean theyll have layers of security but its going to be a little bit different than, say, if you went on to a military base like ft. Hood or some of the other bases where you have nothing but predominantly exclusive uniformed personnel. This type of facility is structured so theres a free flow of individuals back and forth but they have have Armed Security there are layers there, to prevent automobiles coming in. Theres strong security. A shooter always has the advantage in initial stages. Is there any strategic there that would suggest it as a target beyond what we otherwise know about it and the facilities included . There are elements of obviously navy Systems Commands, department of the navy has offices. There are offices of the Intelligence Community that are in the navy yard area a lot of defense contractors. But i would not characterize it as a strategic target as we talk about that from a counterterrorism perspective. It could have been a target of community for the attacker or attackers or could have been something well thought out and well planned for a while. That is what well find out in the investigation that follows. Thats terrorism analyst Roger Cressey joining us on the news line. If youre just joining us, nbc news reporting that as many as ten people have been shot at Washington Navy yard this morning. On the cnbc news line, Anthony Roman a security expert with roman and associates. Good morning to you. You may have just heard us talking with roger. What is your initial impression with the limited information as to what happened in the navy yard . Well, it appears an individual with a shotgun or more individuals, penetrated the perimeter of the facility either by being an employee or by bypassing normal security thats in play. It doesnt appear that Law Enforcement has the situation stabilized within the facility since there have been reports of shots fired within the last few minutes. So what appears to be happening now is a external Perimeter Security of the facility, surveillance in the air with the park Police Helicopters to report on the larger picture of whats occurring internal and around the immediate perimeter. The response currently would be the s. W. A. T. Teams would be responding, trying to secure the individual in a small area as possible, and establish communications with him to stabilize the situation. In the event that sorry. No, please, go ahead. In the event theres more than one shooter, then the tactical teams would be operating in an attempt to stabilize the situation. Anthony, whats your initial thought when you hear about this incident occurring at the navy yard, in particular . Does that tell you there is perhaps a strategic element to it in terms of National Security or does that tell you that it might be something more specific to the personnel at the building . Well it could be either or. If there are multiple shooters it would suggest this may be a terrorist incident. Thats a suggestion, speculation at this time. Multiple shooters would suggest that. They would pick both targets of significance in terms of attracting Media Attention of a symbolic nature and targets that can be penetrated. This is a mixed facility in which there are a high number of civilians that flow in and out practical difficulties in day to day security are flowing in large numbers of contractors, both and out of the facility, as a practical matter so people can get to work. Security tends to be less stringent in those situations. Now, im not suggesting that theyre lacked by any means. But by necessity they need to be less stringent to keep the human flow moving along the choke point of the entries and exit. So you can best be sure that following this incident it will be studied and analyzed and security overhaul. I think we aunderstand. If you were trying to make a statement you would go where access was easier and people forget sometimes just how much work, how much government work is done by civilian contractors. Just a function of how the government operates. One question on you mentioned the police trying to secure the immediate perimeter. The capitol, we know, is not far away but its not that close, the u. S. Capitol maintaining enhanced Security Posture. Would you argue that the threat to the capitol itself is contained . I dont think we can argue anything at this point. I think the situation is still in the containment and assessment phase. All facilities, all federal facilities, all official district facilities will be on a heightened level of alert right now. The secret service will be involved. The police will be involved. U. S. Marshal, all of the federal and district Law Enforcement facilities have a specific procedure and role, should any federal or district frafacilityd be attacked and all will respond in kind with integrated network of communication and protection. Anthony roman, again, helping us sift through the Little Information that we have at this point, appreciate it this morning. We will keep you updated on the shooting in washington at the navy yard. Well take you back to the scene when we come back after a short break. announcer scottrade knows our clients trade and invest their own way. With scottrades smart text, i can quickly understand my charts, and spend more time trading. Their quick trade bar lets my account follow me online so i can react in realtime. Plus, my local scottrade office is there to help. Because they know i dont trade like everybody. I trade like me. Im with scottrade. announcer scottrade. Voted best Investment Services company. Nice car. Sure is. Make a deal with me, kid, and you can have the car and everything that goes along with it. [ thunder crashes, tires squeal ] so, what do you say . Thanks. But i think i got this. [ male announcer ] the allnew cla. Starting at 29,900. Ask me what its like to get your best nights sleep tevery night. La. [announcer] why not talk to someone whos sleeping on the most highly recommended bed in america . Ask me about my tempurpedic. Ask me how fast i fall asleep. Ask me about staying asleep. [announcer] tempurpedic owners are more satisfied than owners of any traditional mattress brand. Tempurpedic. The most highly recommended bed in america. Now each of you can personalize your comfort at the touch of a button with our new tempurchoice. So both of you can get your best nights sleep together. Welcome back. We are receiving additional reports of shots fired at washington naf yard where at least ten people wounded since gunfire broke out this morning. Eamon javers on the scene and joins us now. Hoping you can tell us something about the latest activity there. Reporter what were hearing from our affiliate wrc police engaged one shooter with gunfire inside the building here. The outcome of that situation is unknown right now. Also hearing multiple reports of multiple shooters on the scene at Washington Navy yard and reports that weve got as many as ten people shot here in the incident and as many as four of them may be killed. Well have to wait for news updates from the hospitals and the police. Theyve got an active shooter situation at Washington Navy yard now. Helicopters continuing to patrol just overhead here. Swapping in from time to time very low over the buildings here in a circular perimeter around this scene. I can tell you the focus of Police Activity seems to be intently coraled in that area around the navy yard. We were five blocks from there where were standing here and police are coming in, a canine unit coming in but its not intense in terms of Police Activity here. They seem to be focusing on one area in particular. There are a lot of people here concerned about friends and coworkers. We talked to a defense contractor a minute ago that his Business Partner went in for an 8 00 a. M. Meeting to the navy yard, he has not been heard from since. You are not allowed to bring a nongovernment cell phone or blackberry into the navy yard with you, for security reasons. They dont want people snapping pictures pictures of what happens going on in there. People sheltering in place will be unable to communicate with those on the outside. A lot of confusion from folks waiting for word from the inside from colleagues and friends. It does appear its going to take a while before we get clarity from the inside. Expecting a couple of press conferences here in the next few moments. Buck ravel joins us on the news line. Thanks for coming to the phone. Appreciate it. Youre welcome. Judging from the intelligence we have, we know its thin at moment, does this seem to be a terrorist incident . Not necessarily. It certainly could be. But you have a number of situations like weve had on the schools in College Campuses of active shooters that were not related to any terrorist activity. They were heinous crimes but not necessarily terrorism. But it would be treated whether terrorist or otherwise in the same manner. You would have the same type of response, the same containment. The immediate evacuation of wounded. If the shooter is still engaged, you of course have s. W. A. T. Team come in and hostage negotiator, if theres a situation where they can obtain communication in the subject is still alive or subjects, depending how many there are. So whether its terrorism or a straightforward homicide, mass homicide, it would be treated much the same. Although whats different about this perhaps is the proximity of course to the white house, to the capitol, and the fact its a military place. Right. The jurisdiction issue becomes, if its on the navy yard itself, its a federal crime rather than a d. C. Crime. And if these are civilians, it would be fbi primary jurisdiction, if they were all military, it would be in cis primary jurisdiction. The Police Department would be assisting and cooperating, along with the park police, theres a multiple Agency Memorandum of agreement. Also on the navy yard, it would be an fbiled investigation with the u. S. Attorneys office and district heading the prosecutors responsibility. Buck, Pete Williams is reporting that techty cal teams entered a second building at navy yard. I wonder if you believe this argument that there may in fact have been more than a lone gunman is gathering some steam . Well, i dont know what happened to the first gunman. I mean, according to the news reports, ive seen there was an engagement between Law Enforcement and a gunman. I didnt know what happened in that situation. May have been one individual was able to get to another building. But certainly theyre going to sweep the entire area. Theyre going to look for additional potential suspects. And theyre going to clear the scene. And theyll do all of that after theyve made sure that theyve evacuated any wounded and contained whatever active shooter they have and theyll resolve it either through a negotiation process or through an assault process. What role will the fbi be playing here . Well, if these are civilians, in other words, if theyre non if theyre not subject to the ucmj, theyre not active duty military, the fbi has the lead investigative responsibility. But it will be working with the ncis and the d. C. Police. They will obviously, if the person is taken into custody, they will take the person into custody, theyll do any interrogation. They would also do the crime scene forensics, laboratory, for prosecution. If its all military, the ncis would have that role. If they get off of the reservation, the d. C. Police would. So its a rather its a maze of jurisdictional responsibilities in washington. But thats a simple breakdown. If its all on the navy yard and all civilians, it would be led by the fbi. If its all military, it would be led by ncis. If they get off the reservation, it would be led by the washington p. D. Buck revell thank you for calling in. His view as former fbi counterterror chief as we follow all of the latest out of washington. We are expecting a live News Conference from the local hospital and the Police Department shortly. Well bring those to you live as soon as they begin. vo you are a business pro. Maestro of project management. Baron of the buildout. You need a permit. To be this awesome. And you. Rent from national. Because only national lets you choose any car in the aisle. And go. You can even take a fullsize or above, and still pay the midsize price. aaron purrrfect. vo meeeow, business pro. Meeeow. Go national. Go like a pro. Theyre the days to take care of business. When possibilities become reality. With centurylink as your trusted partner, our visionary Cloud Infrastructure and Global Broadband network free you to focus on what matters. With Custom Communications solutions and responsive, dedicated support, we constantly evolve to meet your needs. Every day of the week. Centurylink® your link to whats next. Why let erectile dysfunction get in your way . Talk to your doctor about viagra. Ask if your heart is healthy enough for sex. Do not take viagra if you take nitrates for chest pain; it may cause an unsafe drop in blood pressure. Side effects include headache, flushing, upset stomach, and abnormal vision. To avoid longterm injury, seek immediate medical help for an erection lasting more than four hours. Stop taking viagra and call your doctor right away, if you experience a sudden decrease or loss in vision or hearing. This is the age of taking action. Viagra. Talk to your doctor. We continue to watch the situation, shooting in washingtons navy sea Systems Command Headquarters Building in washington, d. C. , as many as ten people shot, at least four dead. A groundstop at Reagan National that has been lifted. Expecting press conferences in the next few minutes beginning with Washington Hospital center. Michael, thank you for your time. Sure, happy to be here. You are a former a Navy Reserve Intelligence officer, served on active duty. Have you worked at navy yard . Yes. I was commissioned right there. They have an old ship in the Navy Yard Property and i was commissioned into the navy on the deck of the ship. Can you tell us a little bit about the layout of the facility, what its like getting in and out and how you think this may have happened . Well, actually, its pretty well guarded. I mean they definitely control all traffic in and out. Theres quite a bit of both military and civilian personnel who work there. Its primarily Office Buildings these days. Everything has been converted. About it used to be an arm ament production facility. You have any number of contractors as well as uniformed military personnel. But they do control the gates and entrances. Presumably, if this is an active shooter in the military or is a contractor, they would have had proper identification in order to get through the gate. Obviously trying to follow the details as closely as we can. We have reports that the tactical teams entered a second building. Michael, those who are in the build having been asked to do whats called shelter in place. Can you walk us through exactly what that means . Sure. Basically, you know its a numbers game, right . Only so many places the gunman can be at any given time. The highest likelihood of not being involved in an incident if you stay where you are. The gunmans on the move and teams are coming after him. So its sort of a waiting game, the a time game. If you can stay where you are, hopefully he doesnt come into your office. Mike, i wonder if your firm is a Strategy Consulting firm focusing on challenges within the National Security industry. Are these kinds of events, if it turns out this bears similarity to what happened at ft. Hood, considered a National Security problem . Well, i think most of us in the terrorism game consider it that if like in ft. Hood you have somebody screams islamic sayings before they start shooting people and has been radicalized. The Obama Administration chosen to treat these ace Workplace Violence, which a lot of us question, because reality is if somebody is motivated on the politics and the war on terrorism, then we see it as part of the counterterrorism mission. We spent a fair amount of time talking about what happened at ft. Hood, the vulnerability of military installations around the country. Is there something that needs to be done . Why does this keep happening in areas where you think wouldbe victims are the most protected in. You know its a fair question. I think the ultimately what we have to look at is this a Single Person acting alone because its very, very hard to stop. Again if they have proper identification they get on without being searched, thats our standard operating procedure. In many ways its going through an airport, right . Everybody could be strip searched but it makes it inefficient to get to work. What well have to do is look and see if these are Strong Enough protocols as you have more of these events you increase security. It makes everything less efficient but the only way to protect poem. Its interesting, your comment about whether to categorize that ft. Hood incident as Workplace Violence versus an issue of National Security. Im wondering how intense that debate is, the best way to handle an incident like that. Yeah, its its definitely something we dont tend to talk about the public spirit because none of the government folks can take an official position on it because they have to support the administration. Off the record, military people tell you they consider it be an extension on the war on terrorism. Well see what happens as the war draws down in iraq and fannie m after began stan ass aas more sh at home and u. S. Military bases and abroad. Michael in a situation like this, a Law Enforcement is going to do what they can and not going to have a lot of time to make quick judgments. Do you want to take the shooter alive or not . Its a tactical decision. Depends on the nature how you come across him. These guys are highly skilled. One of the great things in the d. C. Area, we have tons of Law Enforcement because obviously of the sensitive activities here. Lots of people well trained. I have the utmost confidence in Security Forces in terms of the response protocols and theyll do what they have to do. Presumably hes going to be armed, at least wearing a bulletproof vest which makes it harder to take him alive. The sequester, one of the issues the Security Community has been concerned about, resources theyll have and the way in which it will affect not just their operations this year but in the future, briefly, mike . New york i dont think so. I think that if this is a disgruntled workforce, often it turns out to be something where the persons mentally unstable or a family issue, you know a big beef with therapeutic boss, but also props at home. If it turns out to be related to the war on terrorism, thats hot sequester related its related to bigger issues. Our nbc affiliate in washington, wrc, reporting that one shooter is dead at the d. C. Navy yard. Theyre quoting Police Sources talking to news 4. Our washington affiliate. A lot of this has been unconfirmed. A large period we didnt think it was a multiple gunman scenario and appears it is. When we hear tactical teams go into a separate building, does that mean in your mind there may be another gunman or is it ostensibly part of one team trying to clear multiple areas . Generally trying to clear multiple areas. Some buildings are very old and connected underground, overhead passageways. Clearing buildings doesnt necessarily indicate that. Back to whether or not this is Workplace Violence or terrorism, when you see more than one person involved its certainly terrorist related. Michael barrett, appreciate that very much. Back to our own eamon javers live and on the scene with the latest. What can you tell us . Reporter i can tell you right now, as we are talking, focus of the situation has been about five blocks behind me at Washington Navy yard. Let me step out of the shot. You can see a number of Police Vehicles moving at an extremely high rate of speed. These vehicles are heading north on m street southeast. What were seeing is vehicles leaving the area and heading north. This is about the eighth or ninth or tenth vehicle that we have seen heading away from the scene of the Washington Navy yard north into washington, d. C. That is toward the National Mall from here, toward any number of federal sites. Were seeing a big Police Presence moving north away from the site. No idea from our perspective here on the Street Corner what that is all about. But that started within the past minute or so. Were seeing a big movement now of Police Presence. Were seeing more cars coming up this looks look a s. W. A. T. Vehicle switching lanes, driving against traffic, moving e ining extremely quickly. Loaded with personnel. Also d. C. Police officers, these are also metropolitan d. C. Police officers trailing behind that s. W. A. T. Team right now. And those are also loaded with personnel. So clearly, theres a relocation of assets going on here right now, as we speak. And those people are moving away from what we had been told was the scene of the shooting at the Washington Navy yard. And they are moving very, very quickly, guys. Well try to get you some information on exactly where theyre going. A very Dramatic Movement of Police Assets going on right now. Can you briefly describe whats happened in the last couple of minutes before the police left the scene, as they appear to be doing . Reporter it was very quiet as we saw, just for a few minutes we had a real lull here. We did see heavy assets moving into position, toward the navy yard from here. We saw a mobile command unit that looked to my untrained eye, now metro transit and canine Police Moving out. A bus here full of Navy Personnel or several Navy Personnel on a metro bus. The metro buses were being put in position so they could move some of the witnesses away to be debriefed. That metro bus that passed behind us did have several naval officers on it, unclear from where were standing, where theyre heading. We had seen a bit of a lull here. We saw some heavy assets including what looked to me a mobile command unit moving into the situation and some canine units moving in, but now within the past minute or 30 seconds were seeing a big movement of police asset as way. You can see that scene is very secure. Police very intently focused on that area. Now seeing two, three, four more cars coming towards us, helicopter overhead. Dramatic movement of assets going north and away from the scene, guys . Again, wrc, you may know this, you may not, our affiliate in washington, reporting quoting a Law Enforcement source saying a shat shooter is dead at navy yard. Chuck todd is tweeting, citing nbc investigative team, that the shooter has reportedly been in their words neutralized. The situation does appear to have taken a bit of a turn. Doesnt answer questions we were facing whether or not there is a second gunman. Reporter thats right. Karl were seeing unmarked vehicles as well moving north. We had seen some unmarked vehicles moving into the scene with s. W. A. T. Folks packed into these cars. Now seeing unmarked vehicles and metro transit canine Police Moving north again. All part of what is a fastmoving and fluid situation, clearly those officers are moving intently, very, very quickly, to some other location that is north of here, carl. Eamon javers, dont go too far. Again, that report from Nbcs Chuck Todd the shooter neutralized. This will fill in from the victims standpoint when we get press conferences here, hopefully the next few minutes. The Washington Hospital center scheduled to hold a News Conference at 11 30. It a few minutes past that on the east coast. We may get more color where the victims stand in terms of their treatment. The president was scheduled to speak at 11 40 thats not going to happen on time. But that is a look at the executive Office Building where he is scheduled to speak. We forgot theres so much going on this morning, is it the fifth anniversary of the financial crisis. He was going to give a speech that centered on that. Obviously hes going to make a statement closer to the situation at navy yard. You would imagine, given how little we know at the time, he wanted to wait until we have information that it wont change in a matter of a period of hours. Interested to see how long we hear from the president. Michael leighter joins us on the news line. A shooter has reportedly been neutralized, what does that tell you . Carl, i think the big issue that obviously officials are wondering about, not forgive me. One moment. Lets go to the press conference at Washington Hospital center. They do have severe injuries that weve been able to speak with all of them. They have not been able to give us any information regarding what happened to them. Obviously theyre in pain and in distress because of what they suffered this morning. We will have more information later. But i chose to come out and talk to you at this time so youd have an opportunity to hear what we know as of right now. Can you confirm there are two Police Officers included in the wounded being treated here. No, sir, theres one metropolitan Police Officer here, the other two are civilians who are here. We understand that there is potentially a second metropolitan Police Officer at the scene but we have no confer maths of that. Would you say the victims are in Critical Condition now . Critical condition right now. Describe their injuries, please. In order to maintain a little bit of privacy, im going to be very brief about it. We have a gentleman who has multiple gunshot wounds to his legs, injuries involve bones and the blood vessels of his lower legs. We have a another individual shot in the shoulder and we have a third individual who just arrived who had a gunshot wound to the head and the hand. Male . Male, first one, female, female. Is it fair to say chances of survival are pretty good. Chances for survival are very good. For all three. For all three, yes. Again, were we have, as you know, we are pretty darn experienced at this. Weve got right now this morning we have a number of teams in the trauma bay. We have actually been able to bring in two of our helicopter crews as well. So we have plenty of folks here. Were just in the process, the operating room is ready for these individuals. Because of our trauma status we always have trauma rooms available in the operating room. I have surgeons, nurses, trauma specialists, the blood bank in the operating room, all open, all ready. We have been xh n. Communication with those individuals at scene and telling them we can take an additional eight to ten individuals here at metro Washington Hospital center. We are not sure if we will get that many, but they have told us that they believe that there will be more victims coming. Are you able to say the helicopters moved from the hospital to the scene . The hospitals that have brought the victims insofar have been Park Police Helicopter and a Maryland State Police helicopter. There are other helicopters at the scene right now, we are aware of that, but were not sure who will be transporting. Theres an initial report of individuals on the roof. It ends up there was an individual taken from the roof. She is actually here. And the others were individuals who were trying to be under cover on the roof. So the original report of the number of injured on the roof is being modified right now. Again, its a very fluid situation. We really are just going minute by minute right now. Are you able to say what kind of gun was used, semiautomatic weapon . I would tell you from the reports of the victims it was it had to be a semiautomatic because theyre talking about gunshots that they heard in rapid succession. I have no more information. We, of course, will get bullet fragments and have more information, and they will at the scene as well. But i dont have any more information. Did you say the Police Officer is male, female, what injury. The d. C. Police officer is a male and i cant go into any other information regarding him. But he is the gentleman in the operating room right now. Can you tell us the injuries of the women . The there is a woman who has a gunshot to the shoulder and theres a woman who has a gunshot wound to the head and her hand. Has Law Enforcement tried to interview them at all . Yes, we have Law Enforcement in. They always wait until we tell them, but they have had the chance to briefly talk to the officer. We were able to have them speak with their loved ones and they also were able to speak briefly with law officers before they gone off to the operating room. Have they told you anything that you can tell us about what happened . No. Who is the next person waiting to go into surgery or on their way into surgery . Theyre in their way to surgery, yes. Which of the injuries, the shoulder . Likely the young lady with gunshot wound to the head, were assessing right now. Obviously well make a triage decision once we have more information. The next person . Dont well have to see. Well have to see. Any other hospitals where wounded are being taken . Im not aware. We have been in contact with our colleagues in the city. We all are standing up in order to receive individuals who are gunshot victims, but im not aware if anyone else has received any. So we have three we have as i said we have three individuals and we are told to expect more. How many, any idea . No idea. Theres additional security here at the hospital. Yes, additional security at the hospital. Whenever we have an incident of this type we partner with on this campus the Childrens Hospital and the v. A. Hospital, and our officers have stood up and we are have a much tighter perimeter to our campus right now and that will continue during at least where the next day or so. We know the male was a metropolitan Police Officer. Can you describe the women . Employees of the navy yard . You know, im not sure what their relationship with the navy yard is. So i dont have that information to give. Can you tell us if they were wounded inside the navy yard . They were. Inside . All of them are alert . All of them are alert and speaking at this time. Those who may be tuning in, give us a summary again of the headline . So tragedy at the navy yards, multiple individuals have been shot. We have a report of individuals who have died at the scene. We have a transportation of three gunshot victims to our hospital at this time. How many died at scene . We understand that there are individuals at the scene who will not be transported because theyre deceased. Any idea of the number . I dont know the number. Im not confident of the number, in order to say. Would you be briefing us again . We will be briefing you again. Thank you very much. Yes, sir . The officer, where was he shot . You have been listening to the chief medical officer at medstar Washington Hospital center. Three victims. That is our coverage via affiliate in washington, d. C. , the coo of washington medical center, saying three victims, one man two women, Critical Condition. Chances for survival very good, in her terms with injuries had to come from a semiautomatic weapon. One metro Police Officer, two civilians. George Washington University hospital confirms they have a patient. The a. P. With the headline confirming, the shooter at the navy yard is dead. With that, lets bring in michael leiter. Your thoughts given the information we know right now . Carl, as your previous guest said the big question i think will be if there is a second shoot, that still sounds muddy to me. As soon as you have a second shooter it implies something more than routine Workplace Violence. Access to the facility is relatively tightly controlled. This is for someone to get in there with a semiautomatic weapon implies a sophistication or at least relation to the facility. The last piece i think everyone is always concerned about is whether or not Something Else is going on. This is very close to the c capit capitol. Lots of different federal and local organizations involved and theyll be tightening security in many stops, capitol, military sites to make sure no one else is susceptible or really in danger of another sort of attack by follow gunman. Funny you mentioned that. Kelly odonnell says, it appears to her that on capitol hill theres probably twice the number of typical officers. They tell her theres no known threat to the complex, but as a precaution, enhanced security measures are in place. How long would you expect that to be in effect . I would expect at least until we have a really clear idea of whats goingen in the navy yard and then add on maybe six hours or so. Probably throughout the day. One of the good things about washington is it is a very tight Law Enforcement community along the metropolitan Police Department, the fbi, the other federal authorities that guard facilities like the navy yard, and theres been lots of drills and training about events like this. So the city, the federal authorities, are very well prepared. About would be absolutely routine to tighten the security at the capitol and airports and it will be slowly ramped back as more information comes out about what went on and potential identification of the gunman to understand whether there might be other linkages elsewhere. Any details from the press conference the hospital just had that jumped out at you . Not really. I think for me the most interesting thing is the number of gunmen and the navy yard. The navy yard is not a really harden site but its a military facility, you have to have iths to get in. This is not a very, very highprofile spot. It certainly suggests to me, very early on, that this is someone who is familiar with the facility, is familiar with what goes on there, who works there and the like. This isnt like going after the capitol or the Washington Monument that everyone around the world knows. That will start to guide the investigation and certainly assuming one of the gunmen is dead, he will be quickly identified and the fbi and intelligence organizations will jump in to figure out who this person is, who they might have been linked to whether or not there might be other people involved. Michael leiter, thanks very much for now. Back to eamon javers live and on the scene in washington. Your reaction to the details that we heard out of the press conference or to what youre seeing there at the moment . Reporter let me bring you up to speed on what were seeing right here. We saw an initial, intense burst of Police Activity just about i would say three to five minutes ago about a dozen vehicles moving north away from the scene here at a he rate of speed. Followed a few minutes later by a more slowly paced group of about a dozen Police Vehicles. Again, all moving away from the scene here. Were also told by wrc that that round of gunfire, the second round of gunfire that many people heard closer to the scene, were five blocks away from here, that gunfire may have been explosives that officials used to open doors to breach doors in this circumstance. And also, Richard Esposito of the nbc news Investigative Unit reporting the shelter in place order is still in effect for navy yard personnel as well as people at department of transportation. That facilitys on new jersey avenue. The joint base an across tia bowling, a joint facility near the river in this direction from where we are standing. That base on lockdown as well, according to the nbc news Investigative Unit. For reports hearing from the folks at the hospital, the salient detail there is that there was apparently semiautomatic weapons fire here. That raises the degree in severity of the attack. But from what we hear a lot of the victims are conscious and responding. That is at least a hopeful sign from here, guys. Yes. Youre right. Coo of the hospital did say injuries, all critical, had to have come from a semiautomatic weapon which does tell you something. The president was scheduled to speak right about now. That has obviously been delayed. We want to get to john harwood who has more. Reporter the speech was originally in the rose garden. It was moved inside the ieisenh executive office bill, we presume for weather reasons and not related to the navy yard incident. But we dont know that for sure. The president s supposed to speak on the fiveYear Anniversary of the financial crisis, five years since lehman collapsed. It hard to see how the president could avoid dealing with an issue of this kind given a function the president has as moments like this to talk about whats happened to the nation. This is something thats clearly gripped the attention of much of the country all morning. And as long as its ongoing, expect the white house to be monitoring it, the president s been briefed all morning and i would expect him, when he does come out, assuming he does ultimately give the remarks that we expect, i expect that he would address the issue as well. Well come to you went that time comes. Thank you, john harwood. Both our reporting and the a. P. Confirming a gunman at the navy yard is dead. The president should be speaking shortly. Expecting a press conference from d. C. Officials a few minutes. E went out and asked people a simple question [ female announcer ] youre the boss of your life. In charge of long weekends and longer retirements. Ask your financial professional how lincoln financial can help you take charge of your future. Barrett, National Security expert, ceo of dill gent innovations as we watch the situation at navy yard in washington, d. C. Thank you for being with us. Sure. Happy to be here. All of our reporting and it appears of the a. P. Suggests the shooter is dead. Has not answered the more difficult question of whether or not someone else was involved. But given how long that process has taken, bringing down one shooter, what are your thoughts . Well, i think most likely, again, talking about a secured facility. So if youre hearing about one person shooting, most likely somebody who came in who had identification, who was able to get on base without having to go through the additional security protocols that a visitor would go through. We dont have a sense of whether or not this is ft. Hood shooting and terrorist motivated, so the war on terrorism and the global jihad or if were talking is a disgruntled employee, passed over for promotion. Hearing from Pete Williams, his producer tweeting from pete it does appear there was just one gunman all along. How much does that clarify the issue for you. It doesnt. You saw with ft. Hood shoot, seeing domestic radicalized individuals, eastern the boston bombers, thats two people. If its a team of five or six, i would be 100 certain its terror related. We dont flknow if its disgruntled employee. The governments not immune to that. Thats activity that weve seen more and more in the u. S. Over the years. If i had to guess, id say im 51 on the side of disgruntled employee but until we know more about the ethnicity and potential motives of the shooter, were not able to put that together. How much work do you think the navy or any branch of the military needs to do to secure these facilities better . We talked about the balance between efficiency and security. But i wonder if that pendulum is going to swing either way. Most likely well see, well go back to a period of increased tensions. It extraordinarily expensive and inconvenient for everyone. You have to strike what seems to be an appropriate balance. I imagine what well get to over time is where everybody who comes in gets a more thorough inspection. I work in a secure building every day and we walk through metal detectors, for example. I imagine well get back to the point, just because youre an employee, you have a lehman mate right to there, proper identification does not mean youre not a threat to those around you. Mike, sharing his thoughts again with us, mike barrett. Stay with us. Well have more on the shooting in washington in a moment. Peace of mind is important when youre running a successful business. So we provide it services you can rely on. With centurylink as your trusted it partner, youll experience reliable uptime for the network and services you depend on. Multilayered Security Solutions keep your information safe, and secure. And responsive dedicated support meets your needs, and eases your mind. Centurylink. Your link to whats next. [ male announcer ] this store knows how to handle a saturday crowd. [ male announcer ] the parking lot helps by letting us know whos coming. The carts keep everyone on the right track. The power tools introduce themselves. All the bits and bulbs keep themselves stocked. And the doors even handle the checkout so we can work on that thing thats stuck in the thing. [ female announcer ] today, cisco is connecting the internet of everything. So everyone goes home happy. We are still waiting for the president to speak on the fifth anniversary of the financial crisis. Comments to include some discussion of what has happened to the navy yard in washington today. We will take you there live as soon as the president begins speaking. Back to eamon javers who has more from the perimeter at the navy yard. Reporter carl, activity here appears to be calming down, at least right where we are now. We saw ten seconds ago a s. W. A. T. Vehicle moving slowly back toward the scene of the Washington Navy yard going down south now here behind us. Also were told that mayor vince gray, the mayor of washington, d. C. , is expected to give a press conference here in just a few minutes time along with chief of police here, washington, d. C. So we are expecting that to take place two blocks behind me. As we see other metropolitan d. C. Police officials moving into position. Expecting to hear the president of the United States and the mayor of washington. Whats interesting is that the president had this event already scheduled, now given that we dont know at this point how many shooters were involved, how can the president come out and, a, say anything about the situation that were covering or, b, talk about the fifth Year Anniversary of the financial crisis . Reporter yeah, look, based on my experience covering the white house, the officials there are not going to put the president out on National Television in the midst of an active shooter situation. My get is, my guess, is that as long as this is an active shooter situation, were only, you know, 20, 30 blocks from the white house here, they are not going to put the president on television until they know what has happened, that its contained and buttoned up and they can have the president Say Something to the nation about what happened and why it happened and the response. This they have that in place i dont expect to see the president on camera. He will address the situation of what happened today. It will be a tough segue into Lehman Brothers and the financial crash. Those remarks may have to wait at another time based on what happened here today. The Senate Sergeant at arms and senior Law Enforcement officials have told