0 that about the fight over health care. what they want to do and get back to taking some steps that will reduce government spending and claim some success there which they have, already achieved to some extent. discretionary domestic spending will be lower for two straight years. that is the first time since the korean war since that happened. they can continue on that path if they get focus back on spending. jenna what about entitlements though? that has gone up still? >> that a good point. that is where a deal to be made. in the short run, the sequester levels of spending get tougher. both parties have problems with that. democrats think domestic spending is too loy. republicans are worried defense take as giant hit when new sequester levels take effect. in between those two things there is probably a deal to be done where both sides give a little bit on that. one of the things the republicans can ask for in return for higher domestic spending is to put back on the table entitlement reforms and president obama put in the budget earlier this year that have gone nowhere. maybe both sides can he address the problem with sequester spending both on defense and spending side and in return there is conversation about entitlements that gets rolling in a way it hasn't all year long. jenna that is an interesting scenario if it comes out that way. seems based on your description there might be sunlight for it to work that way. the question of the new health care law keeps popping up. >> yeah. jenna it is noticeable you don't have that in the scenario. is that something you feel republicans have to push that to aside? >> they have to decide they will fight that in a different venue or reduce demands down to something like, for example, the question whether this tax on medical devices ought to be part of the conversation. i think democrats are prepared to entertain that conversation. the idea you can use this budget negotiation i'm talking about as a way to fundamentally change obamacare i think the political reality is and republicans will admit this in private that the votes just aren't there to do that. so move to something you have success and maybe you can start the conversation on some modifications to obamacare along to break. i think in return for real results republicans might go along with that. jenna till will be interesting to see. again we get back and forth about a few hundred lawmakers. that is important. there are 300 million plus americans i don't want to forget as well. >> that's for sure. jenna jerry, always nice to see you. thank you so much. >> thanks. happy to be with you. jon: this "fox business alert," the trouble in washington having effect on wall street. now you're looking at the big board which is down 60 points. lauren simonetti from the fox business network live at the new york stock exchange. lauren? >> reporter: hi, jon. we have markets selling off like you noted the dow is down about 59 points. the nasdaq is the big loser today, down a solid percent. the s&p 500, those are stocks most people own in their portfolios and 401(k)s. that measure is down by half of 1% as well. something to point out is volume. seems like many traders are on furlough right now. people are not showing up. volume is light. that means volatility is heavy and we are seeing that today with that vix index up right near 19.7. so we do have a fearful market right now. i want to show you what your portfolio did right when the shutdown started back on october 1st. as you can see the dow is down more than 1% in the past eight days. the other indices are down as well. people are losing money and it is probably going to get even worse since today we're nine-days away from having to raise your debt ceiling, raise the debt limit or else, face default, something that has never ever happened to the u.s. before the obama administration already warned, if that happens it would be quote, catastrophic and send shockwaves across the global economy. if you circle back to the last time we came close to facing default, that was august of 2011. i pulled the numbers. the day that standard & poor's downgraded the u.s.'s perfect credit rating for the first time in history, was on a friday. on a monday, we closed the session 5.5% lower in one trading day. so this stuff has huge effects on people's pocketbooks and people's investments. jon, jenna back to you. jon: let's hope cooler heads can prevail and we don't see that happen this time around. lauren simonetti on the floor of the stock exchange. >> good to see you. jenna the driver of a monster truck that killed eight people in mexico when it plowed into a crowd of spectators is now under arrest. we'll tell you what he could be charged with next. this high-value terrorist in american custody is being interrogated by u.s. agents. what could he tell us about al qaeda that would bring more terrorists to justice? that's ahead.