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tv   Early Start with Christine Romans and Dave Briggs  CNN  July 31, 2017 1:00am-2:00am PDT

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. a new chief of staff bring order back to the west wing? a new era for the trump administration when john kelly is sworn in today. the president refusing to go on quietly on health care after a major rebuke in the senate. he's suggesting sweeping changes which could have a big impact on insurance for millions of low-income americans. a violent election day in venezuela. the maduro regime now celebrating a result global observers are saying could make
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him the next dictator. that's not the only trouble overseas this morning. we have reporters on all our top stories, from the white house, ca carr -- car actiacas, and more. >> good morning. we begin with general john kelly assuming the chief of staff position after another chaotic week in the trump white house. kelly will be sworn in at 9:30 a.m. this morning. the retired marine corps general will be enlisted to try to restore order in a white house that appears to lack direction and discipline. >> probably not an easy task. and both sides of the aisle are cautiously optimistic. >> i look forward to working with general kelly. >> i do think that general kelly will do a good job as the white house chief of staff. i think he will bring order and discipline to the west wing. >> if anybody can bring order
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and discipline to this white house, it is general kelly. >> i think that in terms of a great leadership component, the white house has needs general kelly representing it. >> a big early challenge for kelly concerns chain of command issues. who reports to whom, still unclear. typically senior advisers report to the chief of staff. and as we know, this is not your typical white house by any stretch. >> no. a senior administration official tells cnn kelly has been given full authority. the president tapped general kelly, serving as homeland security secretary, to replace reince priebus who resigned last week. >> john kelly's swearing-in will be followed by a cabinet meeting putting president trump and attorney general jeff sessions in the same room for the first time since the president began a barrage of public criticism aimed at his a.g. with the leadership spot at homeland security vacant, there are rumors flying around that
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the president could move sessions there and install a new attorney general who would fire special counsel robert mueller. >> the trump team said to be weighing all its options. jeff sessions has been in hot water with the president since recusing himself from the investigation in russia's meddling in the 2016 election and possible collusion with the trump campaign. lawmakers on both sides of the aisle have warned against firing sessions. homeland security secretary is a senate-confirmed position with responsibilities that include the construction of the border wall and implementation of the trump travel ban. >> even after senate republicans failed to repeal obamacare, president trump refusing to give up the fight. the president goading lawmakers to keep trying to pass a health care bill. in a series of tweets this weekend including this one, "unless the republican senators are total quitters, repeal and replace is not dead. demand another vote before voting on any other bill." >> several gop senators are calling for return to the
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committee process to craft legislation. among them, maine senator susan collins who voted no on last week's repeal bill, and arizona's jeff flake who voted yes. the trump administration may already be looking for ways to undercut obamacare. health secretary tom price was asked about the individual mandate on abc's "this week." >> what about the individual mandate is the president considering directing his agencies not to enforce it? have you ruled that out? >> the individual mandate is one of those things that is driving up the costs for the american people in terms of coverage. so what we're trying to do is make it so that obamacare is no longer harming the patience of this land, no longer driving up costs. no longer making it so they've got coverage but no care. and the individual mandate is one of those things. all things are on the table to try to help patients. >> the president making threats that could have a big impact on the insurance market. we get more from athena jones at the white house. >> reporter: good morning.
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the president is keeping the pressure on senate republicans to continue working on efforts to repeal and replace obamacare. he tweeted about this numerous times over the weekend. some of the tweets that got the most attention came on saturday, the president issuing what many viewed as a pair of threats writing, "if a new health care bill is not approved quickly, bailouts for insurance companies and bailouts for members of congress will end very soon." and the president is referring to two things. one is the idea of ending employer contributions for health insurance mofor members congress. and the other point has to do with the cost-sharing subsidies that help lower deductibles and co-pays for some seven million lower income people across the country. that is a threat that has drawn ire from both sides of the aisle. maine gop senator susan collins took issue with the word "bailout," and argued that getting rid of the subsidies which insurance companies rely
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on would hurt the most vulnerable people in communities across the country. >> it really would be detrimental to some of the most vulnerable citizens if those payments were cut off. they're paid to the insurance companies, but the people that they benefit are people who make between 100% and 250% of the poverty rate. we're talking about low-income americans who would be devastated if those payments were cut off. >> reporter: white house counselor kellyanne conway said on "fox news sunday" that the president will be making a decision about wlether to share the cost-shared subsidies, paid out on a month-to-month basis, a decision made this week. back to you. >> all right, more now. insurers have until august 16th to set obamacare rates for 2018. and the president's threat to
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cut off subsidies could mean higher premiums. insurers are working in the sea of uncertainty which they hate, and they rely now on $8 billion in cost-sharing subsidies to help pay for low-income americans. what's happening is carriers, they've already requested big rate hikes for next year to offset the expected costs. keep in mind, almost half of the companies, they plan to increase premiums by 20% or more. meantime, other insurers, they're exiting the exchanges completely. big payments that like aetna, human aand anthem. -- humana and anthem. 25,000 people in three states are at risk of having no option for an obamacare insurer next year unless an insurer steps in. this is while an additional 2.7 million americans could have just one option, one insurance carrier to choose from, which means no choice. insurers say they want to work with the administration to fix obamacare. washington's actions so far have fueled instability. besides threatening cost-sharing subsidies, the white house hasn't committed to enforcing
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the individual mandate. that one is key to getting those younger, healthier people to enroll. offsetting the costs for more expensive customers. then again ethe problem is is that even with obamacare the way it is, the younger folks are not joining in the pool. that's the problem. >> right. no real clear path forward for mitch mcconnell. time will tell. all right. the law enforcement community offering some pretty aggressive pushback to president trump's statement encouraging police officers to be "rough" with the people they arrest. police officials saying it sends the wrong message at a time of heightened tensions with the public. the president's remarks coming in a law and order speech last week in a new york suburb directed at cracking down on violent street gangs. >> when you see these thugs being thrown into the back of a paddy wagon, thrown in, rough, i said please don't be too nice. like when you guys put somebody in the car and you protect your
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head, the way you put the hand over -- like don't hit their head and they've just killed somebody, don't hit their head. i said, you can take the hand away, okay? [ laughter ] [ applause ] >> okay. despite the applause you heard, police in suffolk county say they have strict rules and procedures and will not tolerate roughing up prisoners. police departments in new york city, boston, and los angeles among others also criticizing the president's message. ahead, new trouble from a trio of global adversaries. russia retaliates for sanctions. north korea threatens the same, and venezuela in chaos after an election being called an affront to democracy. we're live in all three next.
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in an apparent retaliation for the sanctions bill passed by
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congress. russian president vladimir putin confirming the staff at u.s. diplomatic missions will be cut by more than 700. that includes diplomats and technical workers. the state department says the move is "regrettable and uncalled for." officials are assessing the impact and a possible response. let's bring in claire sebastian live in moscow this morning. good morning, claire. >> reporter: yeah, good morning, dave. the russian president vladimir putin on state tv last night saying that he wants to cut the u.s. diplomatic mission in russia by 755 people. the russian justification for that is that that would bring the total number of u.s. diplomatic personnel in russia down to 455 people which it says is the same number of russian diplomatic personnel that are currently in the united states. and this apparently levels the playing field. but russia has said that this is a direct response to what the obama administration did back in december where it also confiscated two diplomatic
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compounds. i think russia has done this and expelled 35 diplomats. on the face of it, 35 a significantly smaller number than 755, what russia is doing. having said that, this is not just diplomats. this is technical personnel, as well. it may also include russian staff that the u.s. diplomatic mission employs. the sticking point was the passage through congress, that bill authorizing new sanctions through russia and tying the president's hand from lifting or tying previous sessions. he said it was an unprovoked move by the u.s. to worsen relations with russia, and this brought him to this point. take a listen. >> translator: we wait a long time for things to perhaps change for the better. we had such hope that the situation would change, but judging by the situation, that will not be soon. >> reporter: also not bringing the sides any closer together,
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vice president mike pence currently in estonia. part of a trip to reassure estonia, georgia, and montenegro, the u.s. alliance in the face of russian aggression. he said sunday in estonia that the u.s. expects russian behavior to change. russia, for its part, says it doesn't do anything under pressure. this impasse, dave, appears to be entrenched. >> yeah. and as for that sanctions bill, the president yet to sign it, could happen today. live in moscow, thank you. the u.s. and japan agreeing to take further action against north korea, prime minister shinzo abe and president trump speaking by phone sunday, just days after north korea's latest missile launch. the two leaders discussing increased economic and diplomatic pressure on the kim jong-un regime. but that will require help from china. the target of a nasty trump tweet storm that happened late last week. cnn's will ripley is live from beijing with the latest developments. you know, we've watched, will, the president really try to put
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a lot of pressure on china to take extra steps, to put pressure on north korea. it doesn't seem to be working thus far. >> reporter: and now president trump seems to be fed up, tweeting that china has done nothing to rein in north korea, implying that there could be trade consequences as a result of this. china, within the last few hours, warning the u.s. not to conflate the trade issue with the north korean issue because a trade war between the u.s. and china would be bad on a whole different level, not even factoring in the north korea situation which continues to escalate. president trump and the japanese prime minister speaking on the phone, addressing what they call a grave and growing threat, promising to work together to take further action without really specifying what else they can do beyond the sanctions, the economic pressure, and the diplomatic pressure they're putting on pyongyang. the u.s., japan, south korea have limited options without the cooperation of china, and to a lesser extent, russia, which
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continue to trade very heavily with north korea. over the weekend, chinese president xi jinping, who staged a massive military parade in inner mongolia, gave a speech after the trump tweets. he didn't even mention president trump. and he didn't mention north korea. he did say that in these tense times, china will continue to beef up its military arsenal. they put on display brand-new stealth fighter jets, and also their own nuclear-capable icbms. then you have north korea which revealed its latest icbm, which experts say puts much of the mainland from the west coast, los angeles to denver, even chicago within striking range. and analysts saying by early 2018, they could have an icbm that could hit pretty much anywhere in the mainland u.s. the u.s. and china drifting further apart, not coming together to solve it. >> and china to make any -- to take any action against north korea, not just because of the nuclear issue but because of the economic upheaval and how that could affect china.
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all right. cnn's will ripley live from beijing, thanks. venezuela president nicolas maduro declaring victory in a controversial election widely regarded as a fraud and vehicle to rewrite the constitution to consolidate maduro's power. claiming a voter turnout of over 41 pn 41 -- 41%. we want to caution you the video is disturbing. >> one police officer caught on fire from that explosion. election-day clashes between protesters and police claiming at least ten more lives on sunday. the death toll since early april now sitting at 125. the state department condemning the election, insisting the u.s. will continue to take strong and swift actions against the maduro regime. let's get the latest from cnn's
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laila santiago, live in caracas. we see the outcome of the election in maduro's favor. what is the sentiment there at this hour? >> reporter: there's a lot of uncertainty for what's to come. a lot of people telling me as i was on the ground yesterday that they want peace. i'm talking about people on both sides. but you know, if yesterday, if this week is an indication of what's to come, it may be a while before venezuela sees the peace that so many desire. as the numbers came out, as the president spoke about the num r numbers, the results of the elections last night, he called it a victory. he called voters brave. the opposition calling this a fraud. more than 19 million people were registered to vote. eligible to vote. and they are saying that more than eight million actually showed up and supported this new assembly that could rewrite the constitution. you compare that to the numbers
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from just a few weeks ago as the opposition held a referendum to see if this country actually even wanted this new assembly, and they claim that they had more than seven million votes. so really, the government is saying that this is victory. the opposition not backing down. as i was on the streets yesterday for the protests, we were there as protesters took to the streets. the national guard came in, and there was quite the clash. you know, you really aren't seeing them back down just yet. but they will admit -- by they i'm talking about the opposition -- they're tired, you're talking about months and months of violence, of political unrest. and they will tell you we're tired. the frustration is growing. we are not backing down. we do not want a new assembly. we want a new government. >> you know, the outcome of this election was pretty much a foregone conclusion that this result would be it. everybody kind of knew it before the day even began. what kind of hope are you getting from maybe the
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opposition that the trump administration may impose sanctions on the venezuelan government? >> reporter: last night we saw quite a few countries beyond the united states. the united states included, really putting that pressure, saying we are not going to legitimize this vote. people here, the opposition here, is really hoping that that international pressure plays a role in the change that they're looking for. and listen, when we talk about the change they want, they see the crisis as the food and medical shortages. i have seen people on the streets digging through trash. one woman very excited when she was able to find a jar of chocolate that she could just scrape and eat because that was all she would be eating today. i've talked to cancer patients who need medical supplies and aren't able to get each just acetaminophen to deal with the pain that comes with such a horrible disease, such a horrible illness.
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so when you talk about crisis and the desire for change, that is what the opposition is talking about. and they're hoping that the united states, that colombia, that mexico, just a few of the countries that have spoken out and taken their side, will add to that -- what could be possible change in the future. >> and that desire for change head certainly been coming for a long, long time there. all right. thank you very much. laila santiago live in caracas. >> a heartbreaking situation there indeed. breaking overnight, a brazen prison break. in alabama, a dozen inmates managed to break free. how many are still on the run? that's next. ♪ there's nothing more important than your health. so if you're on medicare or will be soon,
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breaking overnight, two inmates still at large after escaping from an alabama jail. the walker county sheriff's office says a dozen inmates originally busted out of the walker county jail sunday night. ten have since been captured. one of the two still on the loose was being held on attempted murder charges. authorities say it's not clear how they made their escape. rides at the ohio state fair have reopened after being reinspected. all were shut down when the 40-foot-high fireball ride broke apart, tragically killing 18-year-old tyler jarrell and 17 others. the family has hired an attorney to pursue a wrongful death lawsuit. all fireball rides have been shut down worldwide. the company that provides the rides believes the accident was caused by a mechanical
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malfunction. >> look at there picture capturing a ground worker at -- look at this picture capturing a ground worker in nice, france, punching a passenger in the face as he holds an infant in his arms. flight 2122 had already been delayed 11 hours when this happened. the passenger was taken from the scene but boarded with a mark on his face when it eventually took off. an airport spokesman says the employee who threw the punch was a subcontractor. the company he works for has suspended him. i mean, come on! >> a left cross, huh? little brutal. chris christie may want to consider avoiding beaches and ballparks. take a look at the new jersey governor at a ball game in milwaukee getting in the face of a heckling fan. mind you without spilling a single nacho. notice the cradling action of the governor, protecting the bowl. christie was in milwaukee over the weekend visiting his son who works for the brewers. in case you were wondering, how
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told the fan, you're a real big shot. the fan replied, "i appreciate that." a preview of the governor's sports talk radio show that could be coming to the new york area. >> we shall see. >> yeah. "early start" continues right now. . a new chief of staff bring order back to the west wing? general john kelly sworn in for his new role today. the president refusing to go quietly on health care after a major rebuke in the senate. he's suggesting sweeping changes which could have a big impact on insurance for millions of low-income americans. a violent election day in venezuela. the maduro regime now celebrating in what global observers say could make him the next dictator. that's not the only trouble overseas this morning.
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we have reporters on all our top stories from the white house, caracas, moscow, and beijing as confrontations develop around the world. it is a crucial morning. welcome back, i'm dave briggs. >> good morning, i'm alison kosik in for christine romans this morning. 30 minutes past the hour. president trump's new chief of staff front and center at the white house. john kelly assumes the position after what many view as the worst week of the trump presidency. how many times have we heard that? kelly will be sworn in this morning at 9:30. the retired marine corps general will be enlisted with trying to restore order to a white house that appears to lack direction and discipline. >> no easy task for sure. both sides of the aisle are cautiously optimistic. >> i look forward to working with general kelly. >> i do think that general kelly will do a good job as the white house chief of staff. i think he will bring some order and discipline to the west wing.
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>> if anybody can bring order and discipline to this white house, it is general kelly. >> i think in terms of a great leadership component, the white house has needs general kelly represented. >> a big early challenge for kelly concerns chain of command issues. who reports to whom is still unclear. typically senior advisers report to the chief of staff. as we know, this is not your typical white house. >> a senior administration official does tell cnn kelly has been given full authority. the president tapped general kelly who was serving as homeland security secretary to replace reince priebus who resigned last week. john kelly's swearing-in will be followed by cabinet meeting. president trump and attorney general jeff sessions in the same room for the first time since the president began the barrage of public criticism aimed at his a.g. with the leadership spot at homeland security now vacant. there are rumors the president could move sessions there, install a new attorney general
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who would then presumably fire special counsel robert mueller. >> the trump team is said to be weighing all of its options. sessions sessions has been -- jeff sessions has been in hot water with the president since the investigation of russia's meddling in the election. homeland security secretary is a senate-confirmed position with responsibilities that include the construction of the border wall and implementation of the trump travel ban. even after senate republicans failed to repeal obamacare, president trump refuses to give up the fight. the president goading lawmakers to keep trying to pass a health care bill. in a sears of tweets this weekend -- series of tweets this weekend including this one -- "unless the republican senators are total quitters, repeal and replace is not dead. demand another vote before voting on any other bill." >> several gop senators are calling for a return to the committee process to craft
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legislation. among them, maine senator susan collins who voted no on last week's repeal bill. and arizona's jeff flake who voted yes. the trump may already be looking for ways to undercut obamacare. health secretary tom price, he was asked about the individual mandate on abc's "this week." listen. >> what about the individual mandate? is the president considering directing his agencies not to enforce it? have you ruled that out? >> well, the individual mandate is one of those things that actually is driving up the costs for the american people in terms of coverage. what we're trying to do is make it so that obamacare is no longer harming the patients of this land. no longer driving up costs. no longer making it so they've got coverage but no care. and the individual mandate is one of those things. all things are on the table to try to help patients. >> the president also making some threats that could have a big impact on insurance markets. we get more from cnn's athena jones at the white house. >> reporter: good morning, dave.
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the president is keeping the pressure on senate republicans to continue working on efforts to repeal and replace obamacare. he tweeted numerous times over the weekend. some of the tweets that got the most attention came on saturday. the president issuing what many viewed as a pair of threats, writing "if a new health care bill is not approved quickly, bailouts for insurance companies and bailouts for members of congress will end very soon." now the president is referring to two things here. one is the idea of ending the employer contributions for health insurance for members of congress. that's a contribution that lawmakers get from the federal government. the other point he makes has to do with the cost-sharing subsidies that help lower deductibles and co-pays for some seven million lower income people across the country. that is a threat that has drawn ire from both sides of the aisle. maine gop senator susan collins took issue with the word "bailout." she argued that getting rid of subsidies which insurance
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companies rely on would hurt the most vulnerable people in communities across the country. >> it really would be detrimental to some of the most vulnerable citizens if those payments were cut off. they're paid to the insurance companies. but the people they benefit are people who make between 100% and 250% of the poverty rate. we're talking about low-income americans who would be devastated if those payments were cut off. >> reporter: white house counselor kellyanne conway said on "fox news sunday" that the president will be making a decision about whether to continue these cost-sharing subsidies which right now are being paid out on a month-to-month basis. a decision on that will be made at some point this week. back to you. >> athena jones at the white house. the law enforcement community offering aggressive pushback to trump's statement encouraging police officers to be rough with the people they arrest.
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police officials saying it sends the wrong message at a time of heightened tensions with the public. the president's remarks coming at a law-and-order speech last week in a new york suburb directed at cracking down on violent street gangs. >> when you see thugs being thrown into the back of a paddy wagon, just see them thrown in, rough, i said, please don't be too nice. like when you guys put somebody in the car and you are protecting their head, you know, the way you put the hand over -- like don't hit their head, and they've just killed somebody. don't hit their head. i said, you can take the hand away, okay? [ applause ] >> despite the applause you heard there, police in suffolk county where the president spoke say they have strict rules and procedures that will not tolerate roughing up prisoners. police departments in new york city, boston, and los angeles among others also criticizing the president's message. ahead, from new trouble from
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a trio of global adversaries, russia retaliating with sanctions. north korea threatening the same. and venezuela in chaos after an election being called an affront to democracy. we're live on all three of those stories next. [ male announcer ] eligible for medicare? that's a good thing, but it doesn't cover everything. only about 80% of your part b medical expenses. the rest is up to you. so consider an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement insurance plans, they pick up some of what medicare doesn't pay and could save you in out-of-pocket medical costs. call today to request a free decision guide to help you better understand what medicare is all about and which aarp medicare supplement plan works best for you. with these types of plans, you'll be able to visit any doctor or hospital that
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venezuelan president nicolas maduro declaring victory in a controversial election that's widely regarded as a fraud and a vehicle to rewrite the constitution to consolidate maduro's power. government officials in caracas claiming a voter turnout of over 41%. maduro's opponents calling that figure pure fiction. the violence on sunday very real. we want to caution you, the video we're about to show you is disturbing.
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>> one police officer caught on fire from that explosion. election day clashes between protesters and police claiming at least ten more lives on sunday. the death toll since early april now at 125. the state department condemning the election, insisting the u.s. will continue to take strong and swift actions against the maduro regime. let's get the latest now from cnn's laila santiago, live from caracas. good morning to you. we understands there are wide disputes about how many vote in this election. and how about the fact that how many of those that voted did they actually have a choice, or did the government require state workers to vote? >> reporter: right. so the government last night -- and by the government i mean president maduro himself, called this a victory. the opposition is calling this a fraud. there were about 19 million voters eligible to hit the polls
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and support this constituent assembly. the government is saying there were more than eight million voters who came out and did that. why is that eight such an important number? it aep's more than the oppositi had when it comes to support. a few weeks ago when the opposition held a referendum to see if the country even wanted this election for a new assembly that could rewrite the constitution and could also give president maduro more power. to the point you made about was it a choice, did people have a say in whether or not they voted -- when i hit the polls people said no, we are here because we want to support the government. we want to support the presid t president. many will tell you off camera that there was a lot that depends on that vote. that they were afraid if they didn't show up to vote that perhaps the government could hold back some of the food that
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they get, that some could be fired from their jobs. so many people say that they had to vote just to be able to continue their life. a life that is very difficult these days given the collapsing economy. one of the interesting things -- when you go to protests, the protests being held by the opposition, you really see a young, young crowd. the youth, the youth that has never really lived what was once the wealthiest country of latin america. a youth that is fighting to have what once here in venezuela. i talked to one 12-year-old as he was making a molotov cocktail on the streets to fight the national guard that clashed so many times on the streets with the opposition. not only yesterday but this week. and really months of unrest as we had seen it here in caracas. >> as they head toward dictatorship, the u.s. considering further sanctions. laila santiago, thank you.
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and in response to venezuela's controversial election, the u.s. is considering slapping sanctions on the vital oil industry. right now, venezuela's only source of income is oil exports. the u.s. is one of its top customers. so sanctions would further cripple its economy. two senior administration officials have confirmed they could be announced as early as today. oil sanctions, they're kind of a double-edged sword. american energy firms rely on venezuela's cheap crude, and cutting it off could cause u.s. gas prices to rise. at the moment, sanctions on imports, they don't look likely. even a likely ban on the sale of crude to venezuela, that could still hurt america's supply. and that's because venezuela mixes u.s. crude with its own before it ships it back to the u.s. meantime, corporate america has already fled venezuela over the instability, names that you recognize -- delta and united airlines, they're suspending flights. gm shut operations after the government seized its plant in
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may. bridgestone, colgate, and mo mondelez cutting ties in recent years. a few companies remain like pepsi, general mills, and mcdonald's. however, you look at mcdonald's, it no longer counts sales that it makes in the country. you see the devastation that's going on in venezuela. companies pulling out, obviously only hurting the economic devastation there. >> yeah. things not getting better any time soon. okay. an apparent retaliation for the sanctions bill just passed by congress, russian president vladimir putin now confirming about the staff at diplomatic missions in russia will be cut by more than 700. that includes diplomats and technical workers. the state department says the move is regrettable and uncalled for. officials are assessing the impact and a possible response. let's bring in cnn's claire sebastian, live in moscow. claire, why this number, 755 diplomats expelled? >> reporter: right. the justification from the
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russian side for that is that cutting 755 from the u.s. diplomatic mission here in russia would bring the total down to 455 which it says is the same number of russian diplomats currently in the united states. of course, this is still a big number. in december when the obama administration slapped sanctions on russia, they expelled 35 diplomats. 755 we know is not just diplomats, it is technical staff. it's not clear yet if that includes russian people that the u.s. mission employs here in russia. but you know, the president putin saying that the clinching factor for this was the passage of that bill through congress. he called that an unprovoked act by the u.s. to worsen relations with russia. and he explained why that brought him to this point. take a listen. >> translator: we wait a long time for things to perhaps change for the better. we had such hope that the situation would change, but judging by the situation, that will not be soon.
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>> reporter: they wait seven months, but also not helping, perhaps, you know, deescalate tensions today, vice president mike pence currently in estonia on russia's doorstep, reassuring that country that the u.s. supports it and supports nato against russian aggression. he also said that president trump still supports the sanctions bill. and they expect russian behavior to change. russia, for its part, though, says it does not do anything under pressure, dave. >> president trump expected to sign that sanctions bill today. claire sebastian live for us in moscow. thanks. the u.s. and japan agreeing to take further action against north korea. prime minister shinzo abe and president trump speaking by phone sunday, just days after north korea's latest missile launch. the two leaders discussing increased economic and diplomatic pressure on the kim jong-un regime. that will require help from china. the target of a nasty trump tweet storm that we saw last week. let's go to cnn's will ripley
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live from beijing with the latest developments. you know, you look at what's left of that china -- that china could do to impact and to influence north korea. north korea relies on china's oil. so why can't china just block access to that oil? why won't china do it? >> reporter: because what china doesn't want to do is to take such a strong action that it would destabilize the north korean regime led by kim jong-un, cause possible instability to the point that there could be a humanitarian crisis. people pouring over the border into china, or worse for china strategically would be an entire korean peninsula allied with the united states, which would be the likely outcome if a war were to break out. and of course, nobody's talking war right now. but things have certainly been escalating. president trump showing his annoyance with beijing over the weekend. on friday night tweeting out that china has done nothing to solve the north korea problem, threatening possible trade repercussions or at least alluding to the possibility that
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that could happen. beijing not taking the bait, not responding. president xi jinping gave a speech while he presided over a massive military parade at one of china's training sites. you saw stealth fighters, china's nuclear-capable icbms, and a message from the chinese president that they will continue to strengthen their army in light of the escalating security situation. and china cannot be happy with what the united states is doing right now because they think the united states shares the blame just alongside north korea for the escalating tensions on the peninsula. hours after north korea launched its icbm, the united states displayed military force by shooting missiles into the ocean along with the south korean military, by flying a u.s. bomber along with south korean and japanese jets on the korean peninsula. then on sunday, the united states tested the thad missile defense system that can shoot down north korean missiles. but china views the thad placement in south korea as a destabilizing act, just like the
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icbm because thad could also theoretically be used to shoot down chinese missiles. at a time when the u.s. and china need to be coming closer together, allison, they only seem to be drifting further apart. >> and it's becoming a more and more complicated chess game. to see the least. cnn's will ripley live from beijing, thank you very much. tesla is delivering its first attempt at an affordable electric car. but what's the reaction to it? that's next.
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breaking overnight, two inmates remain on the run after escaping an alabama jail. a dozen inmates originally busted out of the walker county jail sunday night. ten have since been captured. one of the two on the loose was being held on attempted murder charges. authorities say it's not clear how they made their escape. chris christie may want to consider avoiding beaches and ballparks. i want you to look at the new jersey governor at a ball game in milwaukee getting in the face of a heckling fan without
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spilling a single nacho. how about that skill? notice the cradling action the governor uses to protect the bowl. christie was in milwaukee over the weekend visiting his son who works for the brewers. he told the heckling fan, "you're a real big shot." the fan replied, "i appreciate that." let's check cnn "money stream." we're watching global markets, they're mostly higher after the dow hit a record high. the nasdaq and s&p 500 slipped on negative reaction to earnings from amazon. however, you look at earnings season overall, it's been strong. the s&p 500 profits are expected to rise 11% this quarter. that's going to mean 2017 had the best two consecutive quarters in six years. coming up this week, the most valuable company in the world delivering its quarterly report. apple reporting on tuesday. another potential market mover this week. the july jobs report, that comes out on friday morning. and we're going to find out whether employers continued adding workers at a strong pace.
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in june, the u.s. economy added 222,000 jobs. the treasury is ending an obama-era program to help americans begin saving for retirement. treasury is citing costs. the program has cost taxpayers $70 million so far. however, just 30,000 people have opened an account. only 20,000 of those have money in them. the teacher department is promising to help participants transfer money into private investments. however, advocates are saying the u.s. has a retirement savings crisis. almost one in four workers has less than $1,000 saved. tesla has handed over the first model 3 electric cars to buyers. it's the company's first attempt to deliver an affordable electric car to the masses. the model 3 starting price at $35,000. it's much cheaper than tesla's previous offerings which could exceed $100,000. so far the cheaper version has over half a million advance reservations.
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but prepare to blow through -- pass through the advertised price tag if you want the most eye-catching feels that includes a different color, enhanced auto pilot, and longer lasting battery. that last one alone, that's going to cost you an extra $9,000. suddenly the $35,000 bottom-base sticker price -- >> which isn't cheap to begin with, to be clear. >> you'll wind up with a $100,000 car anyway. >> if you're going to get a tesla, you need the auto pilot. i'll sign up for that. "early start" continues right now. will a new chief of staff bring order back to the west wing? a new era for the trump administration when general john kelly's sworn in for his new role today. the president is refusing to go quietly on health care after a major rebuke in the senate. he's suggesting sweeping changes which could have a big impact on insurance for millions of low-income americans.
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a violent election day in venezuela. the maduro regime celebrating a result global observers say could make him the next dictator. that's not the only trouble overseas. we have reporters on all our top stories from the white house, caracas, and boing as we head toward -- and beijing as we head toward crisis and confrontations around the world. good morning, everyone, i'm dave briggs. >> i'm alison kosik in for christine romans. president's new chief of staff front and center at the white house. john kelly assumes the position after what many view as the worst week of the trump presidency. kelly is going to be sworn in at 9:30 this morning. the retired marine corps general will be enlisted with trying to restore order to a white house that appears to lack direction and discipline. >> no easy task for sure. both sides of the aisle are what

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