tv CNN Newsroom With Brooke Baldwin CNN August 14, 2019 12:00pm-1:00pm PDT
at jerome powell who recently cut interest rates for the first time since the 2007 financial crisis. julia chatterly is here with me now. how accurate is this? and is it just a matter of when? >> it's a great question. each of the last seven recessions, we see this warning sign from the bond market, however, we've also seen this warning from the bond market and not had a recession 12 to 18 months later, you kind of mentioned what's staying on here we've had warning shots left, right and center. economies all around the world slowing, so what kryou're seein is investors piling in like bonds. that's creating the warning signal that we're seeing. take a step back here, yes, there's a lot of nervousness, yes, there's a lot of fear right
now. the underlying fundamentals remains strong. >> we know stocks rebounded yesterday. the president said, the stock market is great. the reason for the decline is tariffs. >> we're only down around 3/4 of a percent for stocks. the other big picture here is, what does that mean, does the trade deal get easier to reach or is this only an issue between china and the united states. did the president show his cards here and say he's afraid of the trade deal impact on the u.s. economy. did he just say to china, you can play harder ball here,
because i'm afraid of stock market weakness? >> americans who are watching who either have college debt or paying mortgages or thinking of their 401(k)s, what are they to think about all of this, there's a lot of noise right now, they have to expect a lot of volatility, it's difficult, it's worrying, but i think we take a step back here and say, if you look here today, the stock market is up double digits, the u.s. economy, the underlying fundamentals remain pretty solid, but i appreciate that everybody is afraid of what the ultimate impact of this trade war's going to be. and everyone around the world is seeing the economy slow pretty much here. so i think it's more a warning for the u.s. administration to say that again trade wars not easy to win, and there are costs, and we're seeing that in the markets. >> thank you so much for the perspective on all of this, i
appreciate it. more on this, as we get closer to the closing bell, first to the latest on the investigation in the mass killing in dayton, ohio, eight people were murdered there two weekends ago. the man who admits he was friends with the shooter is said to be in court this hour. he's accused of lying on federal paperwork to get his firearm. he helped the dayton gunman buy a 100 round magazine and more. investigators say he was not aware of his friend's plan. ryan young is covering the story for us. what do you know? >> brooke, obviously, this remains difficult for the people who live in this community. all up and down the street where the shooting happened, people are still gathering to talk about what happened. and to remember those were lost. ethan cawley is the man charged with helping the shooter gain some of the things he needed. not only did he help buy the
body armor and the ammunition. he helped him hide it at his house so the parents wouldn't see it. they released two obituaries, one for their fallen daughter and one for the shooter himself. people are mourning this, and they don't want to seem like the shooter is glorified at all. they only put out one statement in the last seven days. with all this going on, police are still working this case, trying to discover what the motive is, we do have that time line, it provides a picture of conner betts going to bar after bar, and then going back to his car at some point, leaving his friend and sister as they were going to a taco stand. he grabs a large rifle, gets it all ammoed up and puts on his body armor, and goes out and
starts shooting people. then you have those dayton police officers who are able to respond so quickly to it, and put him down within 35 seconds or so. you think about this case, there's so much going on here, the wounds are still very much open. hopefully some of the healing will begin. brooke? >> hopefully, ryan. thank you very much. and one of the leading candidates in the 2020 presidential race has released her plans for gun control, specifically keeping guns from domestic terrorists. talking about kamala harris, attorney general for the state of california, makes deterring hate crime a big factor in her plan. cnn's kyung law is following the harris campaign. give us the details of senator harris' proposal. >> this is her response to what we've been saying in the last couple weeks. it comes two years after the violence in charlottesville, this is her way of trying to attack these mass shootings and
domestic terror by targeting the guns themselves. trying to keep them out of the hands of the terrorists, here are the details of that, you can see there's a three-point plan there, she wants to temporarily seize the guns of domestic terrorists. what that essentially is is a federal red flag law. that if you hear that someone is spewing hate speech and they have guns, this would give them the power to go to someone, and that federal agency would be able to seize those weapons going to a judge. going to background checks, when it comes to online sales, that is something that gun control advocates say is a loophole, theyen watt to close that loophole, reinvesting $2 billion over 10 years to combat hate. and that's something that she feels is within the power of the federal authority to try to figure out where the hate is coming from and try to combat it, whether it be online or
through other agencies. she just kept that from a five-day bus tour across iowa. every single stop she talked about gun violence. she talked about her frustration with the lack of action in congress. and what she is focusing on as well. when it comes to those background checks is using executive authority if congress fails to act within the first 100 days. >> you just provided my segue. thank you very much. there has been no shortage of talk about gun control on the democratic democratic campaign trail. lawmakers are on vacation right now. informal talks are happening for some kind of legislation on expanding background checks. the discussions have been between white house officials and the staff of these senators, democrats chris murphy and joe manchin and pat toomey. let's start there. with me now april bryan, who is correspondent for urban radio
networks, and jeff mason covers the white house for reuters. >> hi, brooke. >> when you hear that these talks are informal and not substantive, according to one official. how serious are these conversations? >> not substantive is the key piece right there. we've been hearing about these talks forever. i've been in washington for 22 years, there were shootings, columbine, so many things that happened. they were talking about closing the gun show loophole. now hr-8 that is in the house, is to close the gun show loophole as well as the online loophole for buying guns. we're talking about assault weapons bans. it's a lot about a lot that's not moving. the problem is people are dying and hr-8 has passed in the house, but the senate won't do it. not only that, you have the nra that is telling the president no. remember parkland?
the president was all for background checks when he heard the people in that town hall, those young people pushed the president of the united states. >> he's made promises -- >> the nra -- >> how about ivanka trump, she's picked up the phone, she's talking to lawmakers, she's pressing her dad, the president of the united states on background checks. how much sway do you think she has? >> she's probably not doing that without her father's blessing, and that means something. april is 100% right, the president has moved back before when he said he was in favor of gun control. and then did a 180 after the nra, he hasn't changed this time, despite having perspective. just yesterday i was with him when we talked with him in pennsylvania. he would like to have something by the time congress gets back to session in september. that doesn't mean it's going to be some sort of a really advanced bill like many
democrats would like, but there might be something. that also doesn't mean it's going to be passed. it sounds like at least incrementally that there might be something to put on the table. >> that's a good point. >> can we talk steve king. he has a history of making racist, bizarre, offensive remarks. he was asked. this is what he said when he was asked, why he doesn't support allowing exceptions for rape or incest for anti-abortion legislation. here he was. >> what if we weren't back through all the family trees and pulled those people out. would there be any population left if we did that. considering all the wars that have taken place, and whatever happened, i know i can't certify
th that. >> april. what do you say after that? he's limited. i keep saying this about so many people nowadays, they're limited. something is wrong there, he said so many different things, let me tell you what's happening from what i'm hearing at the white house and in washington. the president feels it's a big distraction especially as he's not so sure about iowa. that doesn't play well for the president. evangelicals are very upset about this and they want something done, they don't want to go out publicly against this man, there's a catch 22 here, they are very concerned. there are some republicans that want him out and want him gone. >> i want to read this and i want your thoughts. we know senator booker has called on him to resign. islands have long deserved better than steve king and his hateful insulting words, he should resign. it's time to go by donating to the guy who will beat him, my
inspiring friend. julian castro has also called for his resignation as well. >> this is what those comments do politically. it puts a lot of pressure on republicans to separate themselves from him, from those comments. the republicans, for the democrats it gives them a way to show a difference between the two parties. representative king doesn't represent all republicans with those comments. that's not 100% clear. he does provide a contrast on issues, social issues such as abortion. that give democrats a little bit of heft to say, this is what the other side is saying. >> he's said so many different things out of the side of his eyeball and neck about race, it doesn't land well. at the same time, this is happening, this is being said, the president tomorrow -- he's
got people coming to the white house, even though he's not there. this president now is trying to deal with issues of race, he doesn't reich being called a racist, you have steve king who's considered a racie isist g there are five or six people that are trying to change the president's image on race. steve king is a huge albatross around this president's neck, go figure. >> will he say anything? >> i mean, look at what the president has said in the past about rice. >> the issue of race is a tricky one. he is doing a rally tomorrow night in new hampshire, he may have a chance to talk to reporters at the airport again. i guarantee you -- >> thank you both so much. >> thank you. coming up next, my conversation with the man who represented accused sex trafficker jeffrey epstein, in more than a dozen civil cases, his reaction to the new reports,
that jail failed to check on epstein for three three hours after they found him dead. the man in charge of this country's immigration policy tries to clarify his revision of the statue of liberty poem, but that really only made it worse. jay z teams up with the nfl, despite his past criticism of how the league treated colin kaepernick. what that partnership could look like.
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questions continue to swirl around the apparent suicide of jeffrey epstein. epstein was on suicide watch just a few weeks ago, before being removed is being housed in a protective unit. two staffers guarding that unit failed to check on him for about three hours. the typical schedule should be checking on him every half hour. the staffers have now hired attorneys and are not talking. my next guest is michael pike, he represented jeffrey epstein in approximately 20 different civil cases. thank you so much for joining me
today. >> thank you. >> when you first heard jeffrey epstein was found dead in his jail cell over the weekend, what was your first thought? >> my first shock as well as everyone, they were appalled. for something like this to happen in the bureau of prisons with the most high profile inmate that they probably had and currently have is unheard of, and in my opinion impossible to understand. >> who do you think is responsible? >> there's a lot of conspiracy theories going around, i'm personally not going to commit to one or any of them, but i will say this i find it highly odd and neglect that the 30 minute checks were not properly
performed during the time he was incarcerated there. i find it odds that his cell mate was transferred out reasonably close to the time of the incident. and finally, i think it's very odd that there have been reports that one of the officers on duty was not in a formal correctional officer. these types of issues that have been presented make it easy for con smirscy theorists to run rampant on the internet. >> you yourself do not subscribe to conspiracy theories. if you're in prison, who is to blame?
>> i think the bureau of prisons is to blame, once the formal investigation is complete and released, you will see that the certain policies and procedures that were in effect at mcc were not followed at all. >> let's talk about you, and your relationship with epstein, take me back to when you represented him in florida. and you had time with him, you met with him, one on one behind closed doors. what was the man like? >> unfortunately, the attorney client privilege survives the death of the client. no matter who the client is, my impression of him would be protected and i cannot disclose my impressions in that regard. >> even though i'm not asking about behavior, personality, that sort of thing is out of bounds. >> that's protected by the attorney/client privilege.
>> you were not his attorney at the time of the 2007 nonprosecution agreement in florida, has referred to a deal of a lifetime, after so many women came forward back then. just your own opinion. why do you think he received such a so called sweetheart deal? >> i have no idea. the agreement was entered into the united states and mr. epstein struck a deal. and he followed that deal. >> let me ask you this, what do you want to comment on. what do you like to share with everyone about mr. epstein in. >> i think no matter which side of the fence you're on, whether you're a plaintiff or a defense attorney, i don't think that this was the ultimate outcome that anyone wanted. and i think that there's
negligence to be had on the bureau of prisons. i think that they needed to have eyes on mr. epstein as a very prominent inning mate they should have had the 30 minute checks, if not 15 minute checks on mr. epstein, given the amount of money that the united states spent investigating this case, to have someone pass away under their watch is extremely horrific and wrong. >> what about the women who feel like justice will never be served because they won't get to come face to face with epstein in court. what will you say to them? >> i think both sides, no matter whether it's a plaintiff or a defendant, both sides did not want this outcome. so i think what you're going to see is a number of lawsuits filed against the estate of jeffrey epstein, and a lot of
people scrambling to substitute the estate in for the deceased defendant. >> michael pike, thank you for joining me. the backlash against ken cuccinelli for trying rewrite the poem, the hallowed words on the statue of liberty. she found a group of sixth graders who have a better understanding of its meaning. (in dutch) tell him we need this merger. (in dutch) it's happening..! just ok is not ok. especially when it comes to your network. at&t is america's best wireless network and now, get the option of spotify premium on us, with your unlimited plan. more for your thing. that's our thing. [music playing] jerry has a membership to this gym,
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a trump administration official attempts to interpret the poem on the statue of liberty. give me your tired, your poor. he tried to amend those iconic words and later tried to explain himself. >> would you also agree that emma lazarus' words, give me your tired, your poor are part of the american ethos? >> they certainly are, give me your tired, your poor who can stand on their own two feet and not be a public charge. >> that was referring to people coming from europe, where they had class based societies, where people were considered wretched if they weren't in the right class. >> cuccinelli is on the receiving end of quite a bit of criticism.
there's additional arran aal an trump administration drafts a new rule that could cut the number available for green cards. arnie is leading a three-year initiative called the emma lazarus project to explore the life of the poet. you recently asked sixth graders to rewrite these hallowed words how they would apply to the world today. here is a clip. >> for all her storied strength, lady liberty weeps as she stands as what she symbolizes is crushed to dust in politicians hands. they allow her gligsenning skin to be tarnished by hate. they allow her hope to fade to a melancholy silence and her skin to melt into muddy green.
>> here the mighty arguments of peace are indestruct ishl. our differences unify our love. >> we welcome you to enter here. the sun may allocate for you to fail. the foundation of this country will prevail. fear not of what is unknown and welcome to america, your newfound home. >> and they are 11. what did you think of their responses. >> they were amazing, they were beyond anything that we could have expected. >> how do you compare that to what we heard from ken cuccinelli. >> what i can say is, the students the benefit of learning about emma lazarus, they had a full history lesson. >> they're 11. >> 11 and 12. they were able to think in a new answered way, what it means today. they were able to add their own voice to that. they think emma lazarus would be
happy with their poems. >> i think what he said is somewhat reductive. it's difficult to take a poem and take it out of context and just apply it to one law. it's not the way a poem and american ideas should be used. >> i want you to give us a history lessen, reminding everyone, the statue of liberty poem was about people coming from europe, you tell us, who was she referring to in. >> we typically hear give me your tired and your poor, in the first stanza, she refers to america as a mother of exiles. she doesn't say a mother of european exiles, a mother of irish exiles. what she was putting forward was a more universal stance about welcoming immigrants and that america becomes america in part through a compassionate welcoming of immigrants. >> wasn't she inspired by or
writing about jews who were coming? >> well, she had had direct contact with eastern european jews coming in large numbers, they were fleeing persecution, coming with hardly any money, they were coming with their families, and she went to help them, that was her awakening to the plight of immigrants, it's important when she wrote the poem, she didn't say we're here to help jewish immigrants, no, she took that experience and universalized that about america more broadly. >> when we look at the new trump immigration rules it will make it harder for immigrants to get into this country. trump's own grandfather probably would have not have qualified to trump's own rules when he came here from germany in 1885. >> i think that's right. and so many americans who have been here for several generations would also find that their ancestors would have been in trouble. so yes. >> again, if people want to learn about your project it's called -- >> the emmalazarus project.
>> thank you very much. back to our breaking news on wall street today. the dow down 733 points here. 26 minutes to go until the closing bell, we'll explain the key indicator that has experts worried about a potential recession, plus new details on how around el paso native is planning to help his hometown as they recover from the mass shooting where 22 people were killed. we'll be right back.
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right now stocks are sinking on wall street. we are minutes before the closing bell, the dow is down 730ish points here on the yield. diane is chief economist for diane thornton. i know you have been worried about a recession for months. how accurate or imminent might that be? >> we hope that's not imminent. certainly the bond market, this is a red flag that the bond market thinks we might have a recession coming. it may be due to other factors, this this time is different as we say. there could be a self-fulfilling prophecy.
we're putting our foot out as we're already stumbling. they're the elephant in the room. second largest economy in the world, they're not isolated. they affect all of us, showing up in weakness in germany and europe. all of that comes home to roost, and it's already come up to roost. the businesses are saying, hey, i don't know what the rules of the road are. i'm not going to place that. >> an unknown issue of businesses. sticking your leg out and tripping china, president twrumd is a huge piece of this. trading new insults at the fed chair.
what's your take for blaming powell. especially when he just cut interest rates for the first time since the financial crisis a decade ago. >> they want to blame the fed, they don't do it as publicly as this president has done it. it's unproductive, by doing this, even as the fed does actually have to cut rates to deal with the weak economy. that is their job. that's really important, because the last thing we want we don't have a lot to cut here. as we get close r, the idea tha the fed will do what he says, that they can sort of do
whatever it takes to make it not get into recession this is self-defeating in terms of what the president is doing, when he needs the fed most. this will leave them less in their toolbox. >> he's putting so much into how great the economy is. >> the economy is fine right now. they'll likely get good retail sales tomorrow, that's good, the risks are rising, and financial markets are making a self-fulfilling prophecy of fear factor out there. >> the minute hiss -- that affects us all, and that's what we want to avert the problem is they do have to react with a rate cut. >> what do you say, you talk about fears, what do you say to the average american who's
watching this, watching the dow down several hundred points. what do you tell folks who are worried. >> the good news is, we've seen mortgage applications, for consumer balance sheet they're in much better shape than we've been in a long time. these interest rates are much easier to service we don't want to get to that point where things are stable. we need to see more stable policies to know where we're going. they need to start betting on the future and not pulling back on the future. >> thank you so much for your expertise, appreciate it. coming up next, jay z taking heat for teaming up with the nfl despite being a critic in the past, hear how he's responding.
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and for social justice projects. rock nation, an entertainment company founded by jay-z will advise on nfl performances like the super bowl. they say the goal is to strengthen community and inspire meaningful social change across america. so with me now, cnn senior entertainment reporter my friend lisa france. so, lisa, i read your pieces every morning on cnn.com and you wrote about this and khalid who we'll get to in a second. and jay-z has criticized the nfl for how they treated collin kaepernick when he took a knee during the anthem so what is the story here. >> jay-z feels like this is the natural progression, the next step. first you protest and have the company say we hear your protest and will work for you. to him this is the natural next step that the commissioner roger goodell has heard the complaints and what the public has said and what his players have said and now we need to get busy and start doing work to actually address social injustice.
>> we'll follow that -- >> sorry. i was going to say -- so much genius right here, right now. so he said he doesn't see a disconnect. he sees that this is actually what we're supposed to be doing. and maybe not focusing so much on the fact that collin kaepernick doesn't have a job. >> he does not. and people want something done about that. we'll watch and see what work is done. meantime, and i appreciate the genius, it is just a lot of yours, talk about khalid and this el paso benefit concert. >> so khalid, he was an army brat, a military brat and lived a lot of places but he spent his senior year in el paso and he feels like el paso is really the city that helped him grow as an artist. he's one of the most strained -- streamed acts on spotify and only 21 years old and he wants to give back because of what happened with the shooting and the 22 victims in his home town which he considers el paso to be his home town touched his heart
and i wanted -- and he wanted to do something to give back and holding this concert and encouraging everybody to come out and if you can't get tickets, buy a t-shirt or something to benefit the victims' fund. >> who is coming out? do you know? >> he hasn't really said who. just special guests. >> special guests. >> so far we have to wait and see. but people are super duper excited and people according to the tweets coming from all around the country to be supportive. >> it is amazing. tickets on sale today. lisa france, you and your genius, thank you very much. >> thank you, love. >> thank you. i want to share a touching story out of el paso where so many families are still burying loved ones. the husband of one of the 22 people killed in that mass shooting is extending a special invitation to the community, asking the public to attend his wife's funeral this friday. at purchase funeral home which offered free funeral services to all of the families posted this, mr. antonio bassco was married
for 22 years to his wife margie record. he had no other family. he welcomes anyone to attend his wife's services. records' children are expected to be there and he told local media, when i met her she was an angel and she still is. i was supposed to be the strong one but you found out i'm the weak one and she's going to be missed a lord. margie record was 67 years old. new reaction since we did this story this hour, more 2020 candidates are now calling on republican congressman steve king to resign after his comments on rape and incest. plus minutes to the closing bell now, the dow down nearly 800 points. as fears of a new recession continue to grow. hey, who are you? oh, hey jeff, i'm a car thief... what?! i'm here to steal your car because, well, that's my job. what? what?? what?! (laughing) what?? what?!
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> the man who took a gun into walmart said he is foolish but not evil. 20-year-old dimitri andre chenko is thankful he did not get shot when he openly carried the rifle into a springfield, missouri store days after back-to-back mass shootings and was wearing body armor. he was arrested and charged with terrorist threats in the second-degree. >> i called walmart to make sure this was allowed. and they said it was. so no one looked like they were scared or frightened. there was no one screaming or getting trampled it just looked like a civil evacuation of the building. i want people to know i'm not a bad person. i would never, ever hurt anyone. >> it was foolish. i didn't give it thought.
>> his lawyer told our affiliate he is a permanent resident and faces deportation if he is convicted. and that does it for me. i'm brooke baldwin, thanks for being here. "the lead" with jake tapper starts right now. is president trump's best re-election argument slipping away today. "the lead" starts right now. the dow dives. hundreds of points in the fallout of president trump's trade war with china and a new warning that we may be heading for a recession. what the red arrows could mean for your household and the next election. leaving the race to win a marathon. the new buzz that some presidential candidates could do the democratic party better by dropping out and running for senate instead. plus the house speaker, nancy pelosi, tearing into the senate majority leader using a nickname she must know he hates, moscow mitch, after a new report
claims mitch mcconnell let one russian oligarch slide on sanctions for business in his state. welcome to "the lead," i'm jake tapper. and we start with breaking news in the money lead. fears of another esession causing panic on wall street. the dow taking a dramatic tumble. ending the day down more than 700 points at the closing bell. 800 on the chart right there. the huge slide was set off by one single warning experts say, a specific economic indicator that is historically predicted on presession and a measure that flashes a red warning light for the first time since 2005. i want to go to cristina alesci at the stock exchange. how bad was the damage today. >> it was a blood bath. we're down 800 points and even in the final minutes of the closing bell, jake, this is investors sending a very clear signal to president trump that they do not like his ill-planned and so