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All bad news alert for you nineteen US embassies and consulates and predominately Muslim countries will remain closed until at least Saturday.
This -- the State Department continues to stay on guard for potential terror attacks.
The threat of al-Qaeda and Yemen and beyond and that threat to our markets here hmmm let's bring -- Scott -- senior equity strategist at Wells Fargo.
-- KT McFarland I'm lucky to have her in studio with me former deputy assistant secretary of defense.
And it Fox News national security analyst KT to you first you.
Is this the most serious threat that we've seen -- from an al-Qaeda affiliates since 9/11 you think.
If -- -- serious alert that I've seen really in my lifetime I mean it's right.
They're they're two things plus the closing of the embassies.
Now that means business isn't being done with United States government and eleven of these countries the second thing now is a worldwide.
Where you're basically telling Americans all over the world.
-- -- transportation hubs avoid large public places.
Stay home calendar the -- at the end and not just for today or tomorrow it's sitting -- of artists and David if you're gonna have to the end of August they're -- -- increase it and and put it through the end of the middle of September they're gonna go through the September 11 anniversary.
Scott do you think any potential terror attacker even us -- this severe is fully factored into the stock market at this point.
Well you know -- -- his -- T set I mean this this is a big time warning there must be a lot of good information that the government has otherwise it wouldn't be going to these extreme measures.
And certainly at least in my mind.
If we did have a meaningful terrorist attack.
The markets would at least initially react negatively now.
Depending on the size and where it occurred in the Middle East.
Hey you know -- that that would kind of depend on the initial reaction but I think that the safest bet.
Is that if something occurred if that was meaningful the market's -- -- trade down on that right away.
-- do we get overconfident.
With some of the gains that we made against al-Qaeda obviously with the killing of Osama bin Laden.
But edit view that we focused on bin Laden for so many years to make sure we got an important it's certainly important symbol to the US -- -- the same time al-Qaeda was dispersing itself making us harder to detect what was the right on and fight any potential.
Attack and I think this is important to remember when the present -- a year ago bin Laden is dead al-Qaeda is finished up Qaeda is on the ropes I think greatest quotes.
Even secretary Kerry last week said in Pakistan I said al-Qaeda here is finished well.
OK maybe democratic record isn't what it used to be -- the franchises are much bigger much more powerful and you know staying -- and -- argument always was.
Well you know there's al-Qaeda in the Arabian Peninsula and Yemen.
Just gonna make troubled -- they're not coming to the United States you know -- rock and other areas on throughout the middle talking about a spread the guys from the Atlantic Ocean.
All the way over to Pakistan.
We're talking about.
A great but did a great percentage of where the world's energy comes from we're talking about a huge region -- just talking about the Strait of Hormuz where the Sinai Peninsula.
We're talking about American and western interests throughout that region.
Well speaking of oil on producing regions -- I always think that eminent there is discovered always think investors are fairly Smart.
And I've been had -- been asking the question over and over and over again in recent weeks.
Why is oil so high is this one of the reasons -- the potential for a terror event or at least a disruption.
Of production in these nations.
You don't really even -- -- and even before this this latest bit of information in this embassy closing.
Syria Egypt a lot going on there the probability of that spreading into.
The rest of the Middle East is certainly not zero and we have a slow economy here we know it's slow globally we have a lot of supply oil so in my mind.
The reason were trading above a 105 bucks a barrel is is almost exclusively.
On Egypt and Syria and what might happen and certainly.
This plays into it as well but once again I think the market the stock market the oil market.
Given numbers given what's going on what the government's doing I think I think cut the markets feel right now the government has a good handle on this and and end.
Maybe we can get through this thing without an event.
Do you feel that -- -- are we as a nation on top of potential for terror strikes overseas or here.
Probably more so here we're we're on top -- -- read it's you -- it's hard -- the homeland.
But we have American interests in places where their failed states I'm looking at the Sinai Peninsula where al-Qaeda is potentially -- up with the Muslim Brotherhood.
Where they could.
Threaten any kind of shipping through the Suez Canal.
You look at the Strait of Hormuz the Arabian Peninsula where one well placed truck bomb can take out and -- -- refinery facility in Saudi Arabia.
I think -- is now we're talking about so much of the world so many places where there is a vulnerability yes I think -- probably Washington.
-- -- -- -- thank you so much we value your insight into how much a pleasure and Scott to you as well thank you so much but he's got -- KT McFarland to the.
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