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external frame Congress Scrambling To Pass Legislation To maintain Government Funded; Northeast Braces For Snow, Ice And Rain From Deadly Stormy System; New Vide Appears To show Explosion In Eastern Ukraine; New Episodes Of “Harry And Meghan” Explore Split From Royal Family. This is a RUSH TRANSCRIPT. THIS COPY Might not be IN ITS Final Form AND May be Updated. WOLF BLITZER, CNN HOST: Happening now, recession fears grip Wall Street, stock prices tumbling, because the Federal Reserve's downbeat new financial forecast starts to sink in. Also, this hour, a CNN unique, outgoing House Speaker Nancy Pelosi and Senate Majority Leader Chuck Schumer in their first joint sit-down interview. They're weighing in on whether or not President Biden should run again and whether Trump would possibly win. And Russia is ramping its threats as the U.S. Patriot missile defenses to Ukraine. Moscow now warning of what they're calling unpredictable consequences. Tonight, the Pentagon is firing back. Welcome to our viewers right here in the United States and all over the world. I'm Wolf Blitzer. You're within the Situation ROOM. We start with the dramatic downturn in stock costs here within the United States as fears of recession rise. The Dow Jones Industrials closing down almost 765 factors, investors reacting to a double whammy. The U.S. saw a a lot greater than expected drop in retail gross sales last month, that only a day after the Federal Reserve forecast very restricted financial progress subsequent 12 months and sign extra interest fee hikes are indeed coming. Meantime, up on Capitol Hill, lawmakers, they're scrambling large time right now to attempt to go laws to keep the U.S.
Let's go to CNN Congressional Correspondent Jessica Dean. She's becoming a member of us dwell from Capitol Hill. So, Jessica, what's the state of play on this critically necessary laws? JESSICA DEAN, CNN CONGRESSIONAL CORRESPONDENT: Wolf, right now, the Senate has simply begun a series of votes for the National Defense Authorization Act. That's one of the should-do issues they need to complete this week. It sets the coverage agenda and authorizes funding for the Department of Defense. So, we anticipate that to move during these collection of votes. Then they need to show their eyes to the short-term funding invoice. And remember, tomorrow is the deadline that they have to get that completed. At this point, there are no indications there might be a authorities shutdown. We do anticipate they may get that carried out. But proper now, they are wrestling with simply form of how they're going to vote by way of how they're going to set that vote up, the time agreements, issues like that, these final-minute particulars that they are attempting to work out. So, we're preserving an eye fixed on that. But, once more, at this point, no indications of a authorities shutdown, we do anticipate that they will cross that short-term funding bill, which has already passed the House, which implies it then will go to President Biden's desk. So, then that units them up for this bigger spending package deal that we know that Senate Minority Leader Mitch McConnell, Senate Majority Leader Chuck Schumer and House Speaker Nancy Pelosi all wish to get completed. That's the next big crunch.
Now, one name I didn't embrace there, House Minority Leader Kevin McCarthy, who has come out as a, quote, hell no on that huge spending bundle. And it is attention-grabbing to see himself – distancing himself from the place Mitch McConnell is on this. And, in truth, we heard from Senator Lindsey Graham earlier at present. He is expected to back that greater funding bill. He stated that the House should not be waiting around. There has been some speak from House GOP members that they want to attend till they take management of the House to deal with this larger spending bundle. Graham is saying, they can't even get a speaker elected, a lot less move a invoice. Those were his phrases. And so then we turn to the McCarthy of all of it and him attempting to grow to be speaker. His eyes are on January third and attending to 218 votes, he is still coping with Republican hardliners who're very against him turning into speaker. And we know that some moderates within the House, some reasonable Republicans, have started floating ideas of how they could push again against these hardline Republicans and really assist McCarthy get to the end line on this. One idea that was floated, in response to our reporting, is to kick them off committees. Again, no one agreeing on that, however those are among the ideas which are being floated proper now, as McCarthy tries to get that speakership. And average Republicans attempt to essentially flex their muscles somewhat bit in the House, however it stays to be seen, Wolf, if that can truly occur.