The political peril an extended shutdown would bring him. In about a week or so, defense secretary mattis will leave the building for the last time as defense secretary, and will be replaced, at least in the interim, by Patrick Shanahan. Mattis learned of his revised end date yesterday in a phone call from secretary of state mike pompeo, rather than from President Trump himself. I think the mattis resignation is a watershed moment for every republican in congress. Syria was the trigger, but this was jim mattis repudiating Donald Trumps entire world view. When the going gets tough, for whatever reason that no one can understand, suddenly a tweet comes out, the policy has changed. This is a dangerous time for the United States in foreign policy, because of this. The frantic search for survivors continues in indonesia after a tsunami hit without warning on saturday. The death toll rising again this morning. At least 373 people are feared dead, hundreds are injured. Its a race against the clock, because there is a worry about a potential second tsunami. This is now the second deadly tsunami to strike indonesia this year. 2,500 killed in september. Were going to stay on that story about the tsunami. But as 2018 comes to a close, the government reopening remains uncertain because President Trump is still fighting over his border wall. Democrats are offering 1. 3 billion. The president wants 5 billion. 1. 3 is the same amount offered last year, its not been spent. One side has to be willing to negotiate. Until that happens, 420,000 government workers are working without pay through the holidays. 380,000 are on unpaid leave. You know whose paychecks wont be affected . Members of congress. Because the 27th amendment States Congress cant stop itself from getting paid, and the salaries of those in the house or senate cant be altered until the start of a new term. This marks the third Government Shutdown this year alone. The last one was in february. It lasted nine hours. The first one was in january. It lasted 69 hours. The longest Government Shutdown was from january 199 december 1995 to january 1996. It lasted 21 days. The overall cost to this thing was estimated to be 1. 4 billion. How long this shutdown lasts remains to be seen. Joining me now is my guests. Garrett, lets start with you, because this is while its a congressional matter, its the White House Holding up things from getting done. Where do we stand . Thats right. We stand essentially in the same place we stood saturday afternoon. Both houses of congress is out. The president is largely talking to his supporters on twitter and talking to his secretary of Homeland Security later this afternoon, Kirstjen Nielsen will be coming to the white house for a closed door meeting here, no press, no cameras, and no democrats. This will be another meeting like the lunch meeting the president had with members of congress on saturday, where hes essentially talking to people who already feel the same way he does about this issue. More money for border security, the semantic discussion about what is a wall, what is a fence and where does it go . But theres no breakthrough in this negotiation. The magic number here will be somewhere between that 1. 3 billion or 1. 6 billion that democrats put on the table at different times over the last month. And the 5 billion that the white house originally asked for, which theyre not going to get after a senate vote friday. As we stand here monday, Christmas Eve, it looks like the government could remain partially shut down for at least the rest of this week. Mike, whats going on, on the hill . Everyone has gone home, right . Yeah, nobody is stirring, not even a mouse right here. Im haunted by the ghost of Christmas Present and past. This is not the first time weve been through this. To give you context, the congress did well this year compared to most years. They passed five of the 12 annual spending bills. Thats why this is a partial Government Shutdown. In the seven spending bills, theres 350 billion. Since you talked about it, one of the bills they did spend was the or pass was the one that approved the legislative branch. The senate gym is open today, and i saw former senator Jeff Sessions walking through the halls on his way to the gym. Its a stand still here. One of the reasons democrats feel so confident is we put up there 1. 3 billion was the democratic proposal. Thats not just the democratic proposal. Thats what passed the senate. It passed the senate by voice vote. It was so noncontroversial they didnt even bother to have a voice vote about it. So we can skascharacterize that the congressional proposal. Thats what paul ryan and Kevin Mccarthy went to talk to President Trump about, that friday after that meeting when the president pulled the rug out from under the plans of congress to pass that and get on with it. Thats what brought us to this point three days and counting into the shutdown, and it does appear like this is going to last at least until january 3rd when the new congress convenes and democrats take over the house. Thats the feeling now. Well see if it changes. Fundamentally, garrett, the nancy pelosi and paul ryan and Mitch Mcconnell and schumer, they can call senators back and members of congress back on thursday, friday, they could be a vote this year. If the president wanted there to be, right . This is kind of more in the president s corner at the moment. When i talked to members yesterday before people were leaving up to, there was a sense of frustration that no one seems to know where the president stands on this issue. You have the house pass that 5 billion that went nowhere in the senate and you did have the senate pass a bill that would have kept the government functioning until february where they fought this out. Republicans had been led to believe by the Vice President that was a plan that the president was on board with. So until people know what the president is willing to support, theres not a lot congressional leaders can do. The president is whoa is me tweeting about this. He wrote, im all alone, poor me in the white house, waiting for democrats to come back and make a deal on desperately needed border security. At some point, the democrats not wanting to make a deal will cost our country more than the border wall were all talking about. Crazy. Ali, you laid out the number, the longest shutdown in history cost 1. 6 billion. Democrats dont feel at this moment any pressure to come back and negotiate with the president on his terms. In part because of that Oval Office Meeting from almost a fuel week ago now which the president said he would own this. So members of congress are essentially free to enjoy their christmas until they get a better sense of what the president wants. That last tweet, this morning the president has been on a tear with his tweets. That one is interesting. Mike, kind of his all alone at congress except for people going to the gym. Well keep you company today. Garrett, michael, thank you. Steve mnuchin is working the phones over the weekend, holding calls with chiefs of the six biggest banks, looking to calm a roiling market. As you can see from todays stock market results, it didnt work. The stock market today closed for the day early for Christmas Eve, the dow down more than 650 points, almost 3 on the day. And we are seeing the same thing all across. Looking at a loss of more than 11 on the dow and the s p for the year. Well be right back. Hi. 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This is staying connected with xfinity to make moving. Simple. Easy. Awesome. Stay connected while you move with the best wifi experience and twohour appointment windows. Click, call or visit a store today. Okay. The markets just closed moments ago. Take a look at that. Almost 3 loss today. 3 in one day. Christmas day, this is what is going on in the markets. The dow lost more im sorry, Christmas Eve. Fortunately, there arent markets tomorrow to go down. The dow off more than 650 points, the s p 500 has been pushed to the cusp of a bear market, making this the worst Christmas Eve trading day ever amid growing worries among investors that treasury secretary mnuchin called the ceos of some of the largest banks in the u. S. To shore up confidence. But it remains unclear that mnuchin was unsuccessful. Joining me now is ron ensana. This is not the way Christmas Eve days typically go. Not ever. This is the worst performance in history. Most often theyre up in history. It takes a special kind of ineptitude to get the market to go down 650 points in less than half a trading day. Markets close at 4 00 on a regular trading day. The things that happened over the weekend, secretary mnuchin call the banks the president said he wanted to get rid of the fed chair, which is unorthodox. I dont know how you would do that. I guess mnuchin was reaching out to do something about that. My colleague was talking on cnbc earlier how they may have been calling the banks to see what would happen if they forced the fed chair out, what kind of Market Reaction would there be. This stuff, if its ever happened, and its happened before where president s have pushed federal chairs to lower Interest Rates to benefit reelection results. Thats not abnormal. As long as it doesnt come out. Hes tweeting about the fed schar. You dont threaten the independence of the chair. The best thing is an independent central bank that ensures the purchasing power of your currency. The fed has met its statutory goals. Maximum, sustainable, low unemployment. Nobody thought a lot of people didnt think that the last fed chair had to be replaced. But nobody had complaints about jerome powell. Hes doing very much the same janet yellen would have done. The president want an economy so strong he can brag about it, but not so strong the fed will raise rates. Weve been around this business long enough to see double digits, to see Interest Rates way up there. These are normal rates. These are still below normal. We both have the view that president s get too much credit and blame for the economy and stock market. But this president is unique. Listen to this. A lot of confidence in our economy right now, theres a great confidence level. Youve been seeing that in the stock market. The stock market i think is going to have a very big day based on the massive tax cuts that were very much in the process of getting approved. Its had an incredible impact on the stock market and the stock prices. Weve set 84 records since my election, record stock market prices meaning we hit new higs s 84 different times out of a oneyear period. The stock market has smashed one record after another, gaining 8 trillion or more in value in just this short period of time. He only seems to register stock market records in one direction. But first of ault, he tall, he t big days. There are big days and small days throughout market history. But he makes a real connection between confidence in the economy and the stock market. Thats true up to a point. Consumer confidence, household net worth, the value of ones 401 k do better when the market is going up. Right now we appear to be in the midst of a garden variety of a bear market, partly triggered by the fed normalizing rates, so you expect stock prices to come down. One of the other concerns is that if theyre panicking over a garden variety bear market, and the recession that hasnt even happened yet. We may slow down next year, but you dont call banks to see how theyre doing when theres nothing wrong with the banking system. This is not 2007 or 2008. This is a 20 pull back in stocks which weve seen in 2011, 2015. Weve had these corrections or bear markets before. They are not unusual. They register as blips. Lets take a look at the dow for the year. Its bad for your portfolio. Its more than 11 off for the year. But, again, the economy is otherwise strong. If you are an investor, the older you are, the more worrisome you are. If youre 30, 40, this doesnt mean a thing to you. If youre 50, 60, it means more. You should be paying attention to this stuff on a quarterly basis to make sure you readjust. Some stocks go up a lot. Its called rebalancing your portfolio so youre not overexposed. Except most of the blowout was in one quarter. In september, the market was looking great. Weve seen other quarters like this. That doesnt mean we havent had other months worse than this. So these things happen. It is a rough market to say the least. Yeah. And it may be portending weaker growth going forward. There are a lot of things happening, Slower Growth in china. Some of the administrations policies are at cross purposes with one another. And some of the credit markets are shaky. We need to watch that stuff. But this is not a time for panic. Quite frankly, on cnbc today, theyre doing bargain hunting for stocks. Its got a different feel to it. You sort of sense it when youre in it, that this feels different. It feels a little different. This is a low volume day, so moves get exaggerated. Still, you shouldnt see a 650 point loss on Christmas Eve, other than the president and the secretary making phone calls. And saying things publicly they shouldnt. Defense secretary james mattis surprise resignation wasnt set to go into effect until february, but a president ial tweet brought his service to an end after the new year. And now President Trump has agreed to meet with president erdogan from turkey next year. Youre watching msnbc. Y next ye. Youre watching msnbc. Maria ramirez . Hi. Maria ramirez mom maria Maria Ramirez. Mcdonalds is committing 150 Million Dollars in tuition assistance, education, and career advising programs. Prof Maria Ramirez mom and dad Maria Ramirez to help more employees achieve their dreams. Is time you make for yourself. Aveeno® daily moisturizing lotion improves skin hydration in just 1 day. And for twice the moisture, try the body wash, too. Aveeno® naturally beautiful results® on your wild west vacation. Guarantee youll find gold but we can guarantee the best price on that thar rental cabin or any hotel, home, boat, yurt, whatever. Just dont get carried away with the wild west thing. Hey guys. Get the best price on homes, hotels and so much more. Booking. Com, booking. Yeah served in a nomess bag, my new deli trio and turkey, bacon, and cheddar pannidos are almost too easy to eat on the go. So pannido eat one while you are in a car, but pannidont, while you are on a car. Order a pannido with doordash today. Only at jack in the box. Introdeli trio and turkey, bacon, and cheddar pannidos, both on toasted ciabatta bread. Served in a nomess bag, theyre the ultimate on the go subs. So pannido eat one while you are tackling errands. But pannidont. Huh . [buzzer]. While youre getting tackled by a guy named aaron. Order a pannido with doordash today. As we start the new year with the government funding in flux, so too is the president s defense department. And who is going to actually lead the largest Government Agency . Days of televised praise for mattis bravery caught up with him on sunday. The president pushed up the departure of the fourstar marine general two months earlier than mattis planned. Abruptly tweeting, Patrick Shanahan will assume the title of acting defense secretary starting january 1st, 2019. That gives shanahan a oneweek transition before mattis steps down from his post. Mattis had decided to stay so that there would be a smooth tran transition, which is what you want in the department of defense. Lets talk about who he is. Shanahan joined boeing in 1986. Thats the second largest defense contractor behind lockheed martin. He was an engineer. He led all u. S. Army aviatio