Transcripts For FBC Countdown To The Closing Bell With Liz C

FBC Countdown To The Closing Bell With Liz Claman December 29, 2016

Election. Former florida congressman Lieutenant Colonel alan west getting in the chair to talk about whether this move will roil the global balance right now. As the Obama Administration with just 22 days left is embroiled in another disturbing fight. This one with israeli Prime Minister Benjamin Netanyahu and the nation of israel, but in the last few hours, something has just changed. Weve got former israeli ambassador to the United Nations ron prosor live from israel on the speech Bibi Netanyahu just gave and why christians needs to fear the resolution president obama allowed to pass. Im back from jordan, ill tell you what is really going on, on the ground. Both of the developing story, president elect trump is in palm beach. Well have reaction out of maralago as soon as it comes. The president elect causing a stir in the last 24 hours after suggesting privatizing the multibillion dollar veteran Affairs Hospital system paid for by you, the taxpayer. Were about to take the pulse of one soldier. Three tours of duty in iraq. He was nearly killed by improvised explosive device in iraq. Weve got an exclusive interview with Sergeant Anthony cala why trump might be onto something. The dow is set to hit 20,000. The dow industrials straddling the flat line, we are less than an hour from the closing bell. Live from the floor of the New York Stock Exchange. Happy to be back with you guys. Lets start the countdown. Breaking news that is just hitting the tape over the past 28 minutes. President obama said enough is enough much his administration ejected nearly three dozen Russian Diplomats, some in the intelligence world but they are all based in the United States. In response, obama says, to what the Administration Calls russian hacking and influencing the American Election process. We have sanctions that are related to thithat wne to tell you about in just a moment. I can tell you that the breaking news is causing chatter and movement on the floor of the New York Stock Exchange. The dow was making a run for the flat line. Three points above. We can show you intraday picture which the news broke, and you can see it immediately started to fall, down by more than 11 points and trying to claw back but losing four points in the final hour of trade. And 7 1 2 hours of trading left overall. One hour today and, of course, the hours tomorrow before the clock strikes midnight on new years eve, could the dow pull off the 20,000 . The volume is so thin at the moment that any bad news or good news performs an outsized move and forces that with the markets. If the dow cant get on dow 20,000, for those of you who held onto the blue chip index for the entirety of 2016, its a year to remember certainly for your portfolio. The dow will round out the year with a nearly 14 gain, everybody seeing gains, the nasdaq had 8 gain, s p about 10 , since the beginning of 2016, but the russell 2000, a Small Cap Index clocking a 19 gain. If you took a chance on the small and mid caps, you are a winner now. There is a flight to quality trade we need to tell you about, gold in the aftermarket session up about 15. 50. Highest level in more than two weeks, for a single troy ounce, 1156. 46, gold tends to move up when theres a lot of nervousness, globally, weve got that now. A different story for crude oil than gold. It is put back into negative territory after weekly inventory showed surprise build of 614,000 barrels. If you look at marathon, for example, chesapeake, apache, halliburton, these are oil services and some of the drillers, they are all moving slightly lower. Financials also across the board. Among them jpmorgan and Goldman Sachs are easinga the moment showing softness, most of the names are down and jpmorgan and Goldman Sachs the biggest losers on the dow. Let me get to the breaking news, people are talking on b it on the floor of the New York Stock Exchange. The Obama Administration striking back against what it says was russias malicious cyberactivities and harassment including attempts to influence the 2016 election through hacking. The administration ejected 35, nearly three dozen, pretty unbelievable, 35 russian intelligence operatives based in the u. S. And also the administration imposing sanctions on two of russias leading inteigence services. Fox business blake burman standing by in washingto d. C. Big move with just 22 days left for the administration. Reporter it is, liz, this is a twofold announcement today from the Obama Administration. First you have the sanctions against some of the top individuals and agencies within russia, and then separately on top of that, the u. S. Government kicking out Russian Diplomats out of the country for basically russian interference, the sanctions are for what u. S. Intelligence agencies view the interference in the leadup to the election. Multiple russian agencies in the main military agency and other russian businesses. The United States department of Homeland Security and the fbi released a joint report which lays out how to better protect against cyberintrusions by russian intelligence agencies and separately, 35 Russian Diplomats have been expelled from the country and russian compounds in both maryland and new york will be closed as of noon tomorrow as a result of what the Obama Administration says is a response to russian harassment of u. S. Personnel in russia. So youve got the sanctions and then you got the 35 being kicked out. President obama released a statement just a little while ago, pretty lengthy, ill read you a part of it, and im quoting then from the other side of the aisle a little while ago came the house speaker, the Top Republican on the hill, paul ryan called this a result of ineffective policy saying and im quoting so far, we should mention, liz, no response from the president elect and his Incoming Administration. Liz we have cameras on that, his compound in palm beach, florida. Any announcement, were watching the twitter verse as well, we know president elect trump tends to go twitter when he has comments on that. We will get it to the viewers. Thank you. This comes at an awfully tense time, russia is brokering a ceasefire agreement between the Syrian Opposition forces and the Syrian Government of Bashar Alassad, it goes into effect in just hours. 5 00 p. M. Eastern, thats like an hour and a half or hour and 45 minutes from now. This is a very tenuous situation after moscow, iran and turkey signaled they are willing to reach a deal to settle the nearly 6yearold war in syria. Lets bring in colonel alan west, also a former congressman. Look, let me get first to the breaking news, colonel, the Obama Administration says enough is enough, blake outlined dramatic steps that have been taken. Among them the expulsion of 35 diplomats and intelligence operatives and within 24 hours, the compounds will be closed, shut, russians get out. What does this mean overall . What do you make of this . First of all, its a pleasure to be with you, liz, happy new year. And i want to ask a question, if Hillary Clinton had a wand, would we are going through the machinations and the sanctions and the expulsion of the officials . Russia has been violating so many acts of international law. For instance, over a 48hour period, there purpose 3 instances of them buzzing u. S. Navy warships in international waters, nothing was done then. When i look at the fact that president obama has 22 days left, the actions that he just took right now are going to fall on the Incoming Administration, and i wonder if there was any consultation with the Incoming Administration because they are the ones who have to continue on with this Foreign Policy. And from a political aspect, think about the optics if donald trump were to go in and we reallow these individuals to be reinstated back in the United States of america. Thats something that the media is going to come down on him about. So again, its probably too much, too little, too late and as paul ryan, the speaker of the house said this is the result of eight years of failed policy with russia to include president obama saying in 2012 that hed have more flexibility with russia after his reelection. Liz im hearing you say, when you say too little, too late, Something Like this should have been done long ago. Look the russians have been very aggressive with america and people say president Ronald Reagan would have been turning in his grave to hear how open armed president elect donald trump is, and yet, he would also be very unhappy if obama is doing what hes doing so late. Hould be done now . Well, the thing is, of course, as we look at 22 days before a new administration comes in, you placed the Trump Administration into a little box, and i wonder if there was coordination of this action with the Incoming Administration. I think without a doubt, the Trump Administration has to reestablish itself with a moral high ground when the Obama Administration has not had. You see the impacts that this decision had on the market right now. So i dont know if this was a very wellthoughtthrough action that president obama has taken or just a reactionary, politically induced type of decision that he just made. Liz colonel west, does this put the ceasefire in jeopardy . Supposed to happenn about an hour and 49 minutes from now . Well, president obama is irrelevant in the middle east. The fact that russia, iran and turkey are meeting to decide whats going to happen in syria, that lets you know that the person that once talked about a red line, that talked about Bashar Alassad has to go. He has no stake in this whatsoever. He is a side line player and about leading from behind. We have to start looking forward in the next 22 days. What this means for the incoming president ial administration, it means that were not going to have a smooth transition and the Foreign Policy and National Security aspect of the Trump Administration is going to be preeminent. Liz Lieutenant Colonel alan west, wishing you a happy and healthy holiday. Thank you for joining us. Thank you, liz. Liz weve got the closing bell ringing in 48 minutes, and please do not doubt these developments are affecting the psychology of traders down here at the New York Stock Exchange as they watch warily all of the developments. Look at the dow 30, verizon among the leaders on the dow 30, the Telecom Giant is one of the Top Performing sectors of the day and the name. Newmont mining, the biggest leader on the s p 500. Thats thanks to golds outsized move over the last four sessions, two weeks that i was telling you about. Im watching gold still up about 15 bucks. The rest of the miners taking off, too. Anglogold, gold corp. Making people happy at the moment. News of russias punishment jolting the market out of sleepy coma. Our traders are joining us with their take what it means today, tomorrow and beyond. So glad you wear me live from the floor of the New York Stock Exchange. Countdown coming right back. Liz listen to this, the little blue bird is spreading its wings and going stereoscopic, twitter introducing a 360 degree Video Service as it tries to bounce back from a series of highlevel executive departures and lack luster sales, no profit. Got to make money. The move as twitter is in a desperate effort to fend off the threats of facebook video streaming platform. Twitter live. Unicorn darling snapchat promising investors it could be the next facebook as it gears up for roadshow to market what may end up being a 25 billion ipo, big news, i just got back from israel, big news is that snapchat bought simmagin, it will help with Artificial Intelligence and you look at whats going on there, very interesting what the Israeli Companies can offer. A sea of red, not deep crimson red but when blood hits the water. When we talk about the markets, we should look at whats sitting in the green, the volatility index or wall streets fear gauge is jumping 3. 5 . I told but the eulsion of 35 Russian Diplomats by the Obama Administration and so much more that traders are saying dont know if we can really make a run for the green here at the moment, not to mention dow 20,000. Right to the floor show traders here at the New York Stock Exchange, cme group and the nymex. Keith bliss, when you saw the news about the russian expulsion of the diplomats by the u. S. , what happened with traders and the mindset, why are we not seeing green on the screen . Geopolitical risk. When you look at the stunning pronouncement by secretary kerry yesterday where he spent 90 minutes wailing israel about what he sees as a failure in his own diplomacy, it started to rattle the markets. Thank goodness that its a little bit of a light week, trading volumes are light. We had all the Market Participants back, im sure we see much more selling pressure. A little bit right here. Something were going to have to keep an eye on as colonel west was alluding to in the last 22 days of this presidency. What other actions will they take which are stunning and could rattle the markets . There is the perception, weve had a couple guests on fox business who said it almost seems as if the administration is burning down the house as it closes the door as it walks out. There are many perspectives to all of this. Alan, as im looking at oil at the moment. You look at the chicago mercantile and the nymex, it is not spiking in any way, shape, or form. Oil in the aftermarket down 34 cents to 53. 72. Is oil capped at 55 to 60 if we spin it forward to 2017 . What i see here is first we have the compliance of opec as a big market focus. News what theyre doing with Russian Diplomats does not have that much impact in the market. I think we are going to have somewhat of a selloff very nearterm, were in an oversupplied market. We get down to 51. 77 after that, back up we go. The reason is opec will be compliant with cuts and the nonopec countries will be compliant. That will bolster the market. I think after the end of january, were going to see the 55 to 60 range. Liz not a surprise we see selective quality with gold moving higher. The 10year yield made a shift to the upside, to the down side, there is fear in the markets. I think its hitting a twoweek low, todd, you at the cme are seeing that coalesce, listen, we have one more trading day after this final hour which we have 40 minutes left. What happens tomorrow and at your peril, tune out, tomorrow should people be watching the markets . Liz, i think the market is an efficient machine. Weve seen vix call buying for the last two weeks. Last week we needed tlt calls were bought which would reflect a lower yield. The market was all insurance, not necessarily something you want to should know but you want it happen. As we head into year end tomorrow and next week, equities are within a stones throw and we have yet to see a considerable pullback. Equities are treading water and volatility is higher which suggests that next week could be the week where equities see leaking to the downside. Liz thats why you can never tune out fox business, is what im trying to tell everybody. Listen, gentlemen, if i dont see you, happy new year. Have you all been friends to fox business, and i know thats proved good news to you. Happy new year to you. Liz thank you so much. Any time, alan, keith, todd. Closing bell 48 minutes away from the final hour, the final closing bell and one session left. Up next, the department of veterans affairs, the va, boy, does it have a reputation far from sterling. Americas heroes forced to wait months even years for care for injuries serving our nation. Now donald trump is suggesting there might be a better way. Staff Sergeant Anthony cala badly injured by an improvised explosive device. He is joining me live. What the va did or did not do for him . Its the perspective what you think he needs the most and is more privatization on the way. More countdown on the way. Liz folks, live from the floor of the New York Stock Exchange im watching these markets very closely. Pretty much flat as a pancake for the dow, s p, russell, all down a fraction of a percent but the dow down seven points. Jerusalembased maker for chips and software used for autonomous driving technologies is jumping to new monthly highs on news of a brand new partnership. Nicole petallides here on floor

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